Antitrust regulators sued to stop an alliance between American Airlines and JetBlue, calling it anticompetitive and harmful to consumers. The case is part of the Biden administration’s plan to tackle market dominance among domestic airlines, experts say.
The airlines say their agreement allows the two relatively smaller carriers in the Northeast to compete more effectively against the two largest players there, United Airlines and Delta Air Lines.During closing arguments Friday, Justice Department prosecutors pointed to an economic analysis that predicted between $500 million and nearly $700 million in higher fares for consumers on the routes encompassed in the Northeast Alliance.
Jones also argued that the alliance harms consumers by turning former competitors in the Northeast, a region that includes 70 percent of JetBlue’s business, into collaborators who coordinate on allocation of flights, scheduling and revenue-sharing. Schwed and Wall argued that American and JetBlue joining in the Northeast has combined two “weaker competitors” into a single, stronger competitor to Delta and United, which have long dominated the route.
Brian Quinn, a professor at Boston College Law School who specializes in mergers and corporate law, said more aggressive intervention in mergers and consolidation is becoming increasingly common.“The people who made the argument to the Biden administration that bigness is bad have gotten the ear of policymakers,” Quinn said.
Brasil Últimas Notícias, Brasil Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
25 Uplifting Native American Quotes That Honor The Community for Native American Heritage MonthLearn about the histories of Native and Indigenous people with these inspirational quotes.
Consulte Mais informação »
JetBlue adds Paris to flying destinations starting in 2023JetBlue adds new service to Paris first between John F. Kennedy International (JFK) in New York and the Paris Charles de Gaulle Airport (CDG) beginning in 2023.
Consulte Mais informação »
Low-cost carrier JetBlue plans route from US to Paris soonThe airline says travelers should be able to fly by next summer from New York, with additional service planed from Boston in the future.
Consulte Mais informação »
'Break Up Ticketmaster' Coalition Applauds DOJ Probe of Online Ticketing Giant'This is a day of optimism and hope for over 40,000 people who have called on the DOJ to break up Live Nation-Ticketmaster, a corporation that has bent and broken the industry to its will since its entities merged in 2010.' —BreakUpTicketmaster Coalition
Consulte Mais informação »
The DOJ has reportedly opened an antitrust investigation into Ticketmaster’s ownerTicketmaster and Live Nation merged in 2010.
Consulte Mais informação »