Jul 10, 2024, 4:04 AM
Jul 9, 2024, 11:54 AM

Delta Air Lines partners with Riyadh Air to operate flights between US and Saudi Arabia

Highlights
  • Delta Air Lines has formed a partnership with startup Riyadh Air to offer flights between the US and Saudi Arabia.
  • Both airlines will be cooperating on these new routes without taking ownership stakes in each other.
  • This collaboration opens up new travel opportunities between the two countries.
Story

Delta Air Lines has announced a new partnership with Riyadh Air, a startup airline, aimed at operating flights between the United States and Saudi Arabia. Riyadh Air, supported by Saudi Arabia's sovereign-wealth fund, is part of the country's strategy to diversify its economy beyond oil and enhance tourism. The collaboration between Atlanta-based Delta and Riyadh does not involve any ownership exchange, with plans to engage in codesharing by selling tickets on each other's flights. This practice requires approval from the U.S. Transportation Department and could potentially evolve into a joint venture, necessitating immunity from U.S. antitrust laws for price collaboration and revenue sharing. While specific details regarding the commencement of flights and financial aspects remain undisclosed, Delta CEO Ed Bastian and Riyadh Air CEO Tony Douglas expressed optimism about the partnership's potential growth. Initially, the focus is expected to be on passengers traveling to the United States, but as tourism in Saudi Arabia expands, traffic is anticipated to balance out over time. Notably, no U.S. airline currently offers direct flights to Saudi Arabia, with Saudia, the kingdom's national carrier, operating nonstop services between Saudi Arabia and key U.S. cities like New York, Washington, D.C., and Los Angeles. The strategic alliance between Delta and Riyadh Air signifies a significant development in the aviation industry, fostering closer ties between the U.S. and Saudi Arabia in the realm of air travel. By leveraging each other's networks and resources through codesharing and potentially a joint venture, the airlines aim to enhance connectivity and facilitate smoother travel experiences for passengers between the two countries. This collaboration aligns with Saudi Arabia's broader economic objectives of reducing reliance on oil revenues and promoting tourism as a key sector for growth and development. As the partnership between Delta Air Lines and Riyadh Air progresses, stakeholders will be closely monitoring regulatory approvals, market dynamics, and passenger demand to gauge the success and impact of this venture. With the potential for expanded routes, increased flight frequencies, and enhanced service offerings, the collaboration holds promise for enhancing travel options and strengthening bilateral ties between the U.S. and Saudi Arabia in the competitive aviation landscape.

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