Airlines Strategy
Ethiopian Airlines Upgrades Premium Cabins with Collins Aerospace Seats
Ethiopian Airlines partners with Collins Aerospace to equip A350 and 737 MAX fleets with advanced business class seating for enhanced comfort.
In a significant move to bolster its position as a leading global carrier, Ethiopian Airlines has announced a major agreement with Collins Aerospace, an RTX business. The deal, unveiled at the Dubai Air Show, focuses on a comprehensive upgrade of the premium cabin seating across the airline’s new and existing aircraft fleets. This collaboration signals a clear strategic direction for Africa’s largest airline, centering on enhancing passenger comfort and creating a standardized, high-quality travel experience for its premium customers. The investment is not merely about new seats; it’s a calculated effort to compete at the highest level of international air travel.
The partnership will see the introduction of two distinct, state-of-the-art business class products. Ethiopian’s new fleet of 11 Airbus A350-900 aircraft will be fitted with the luxurious ‘Elevation’ suites, while 56 of its Boeing 737 MAX aircraft will receive the ‘Parallel Diamond’ business class seats. This dual-pronged approach ensures that passengers will experience a consistent level of comfort and privacy, whether they are flying on long-haul international routes or on key single-aisle journeys. By investing heavily in its premium offerings, Ethiopian Airlines is directly addressing the growing demand for more comfortable and private air travel, aiming to capture a larger share of the lucrative business and leisure traveler market.
The centerpiece of this fleet enhancement is the selection of the Collins ‘Elevation’ suite for the airline’s 11 new Airbus A350-900 Aircraft. This product represents the pinnacle of modern business class design, offering a fully lie-flat seat within a highly private enclosure. The suite features a reverse herringbone layout, a design choice known for providing passengers with both direct aisle access and a sense of personal space. Key features include a privacy door, which transforms the seat into a secluded personal cabin, and ample, intuitively integrated storage areas for personal belongings.
What makes the Elevation suite particularly strategic is its clever engineering, which maximizes individual passenger space, providing more room for hips, knees, and elbows, without negatively impacting the overall cabin density. This allows the airline to offer a superior product without compromising on the number of seats. Furthermore, this choice ensures product consistency across Ethiopian’s premier long-haul fleet. The airline is also installing Elevation suites on its upcoming Boeing 777-9 aircraft, meaning passengers will soon enjoy the same seamless, high-quality experience on multiple flagship planes.
As Ethiopian Airlines Group Chief Operating Officer, Retta Melaku, stated, the airline is investing in products that will “take our customers’ comfort and overall flight experience to the next level.” This commitment to a unified premium product is a powerful branding tool. It builds passenger trust and loyalty, as travelers know what to expect when they book a business class ticket on a flagship Ethiopian route. It simplifies the travel experience and positions the airline as a carrier that prioritizes quality and consistency, directly competing with other major international airlines that have also invested heavily in their premium cabins.
The agreement extends beyond widebody jets, bringing a true premium experience to Ethiopian’s narrowbody fleet. A total of 56 Boeing 737 MAX aircraft will be outfitted with Collins’ ‘Parallel Diamond’ business class seats. This is a significant upgrade, reflecting the growing trend of using single-aisle aircraft on longer routes that were once exclusively flown by larger planes. The Parallel Diamond seat is specifically designed to bring widebody comfort to a more compact cabin, transforming into a 78-inch lie-flat bed.
The design of the Parallel Diamond seat is both innovative and efficient. The seats are angled toward the aircraft’s windows, a configuration that maximizes personal space and enhances privacy for each passenger. This advanced kinematic design ensures that travelers on longer 737 MAX flights have a comfortable space to work, dine, or rest. By equipping its 737 MAX fleet with these lie-flat beds, Ethiopian Airlines is making a clear statement that a premium experience is not limited to its intercontinental flagships.
This investment in the single-aisle fleet is crucial for maintaining a competitive edge on regional and medium-haul routes. It allows the airline to offer a consistent brand promise of quality across its network. Cynthia Muklevicz, vice president of Global Airlines & Lessors at Collins Aerospace, noted that the seating solutions are “distinctly tailored to reflect and amplify Ethiopian’s rapidly expanding brand to travelers across the globe.” This move ensures that whether a passenger is flying for 10 hours on an A350 or four hours on a 737 MAX, the commitment to premium comfort remains unwavering. The comprehensive seating agreement between Ethiopian Airlines and Collins Aerospace is more than a simple cabin refresh; it is a foundational element of the airline’s future Strategy. By selecting the Elevation and Parallel Diamond seats, the carrier is ensuring a consistent, comfortable, and private experience across its key fleets. This standardization simplifies marketing, sets clear passenger expectations, and strengthens the airline’s brand identity as a provider of world-class service.
Ultimately, this collaboration positions Ethiopian Airlines for sustained growth and enhanced competitiveness in the global Aviation market. As travelers increasingly prioritize comfort and personal space, this investment in premium cabins is likely to yield significant returns in customer loyalty and market share. It underscores the airline’s ambition to not just connect Africa with the world, but to do so as a leader in service and innovation.
Question: Which Ethiopian Airlines aircraft are receiving new business class seats? Question: What are the names of the new seating products? Question: Where was this agreement announced?
Ethiopian Airlines and Collins Aerospace Forge Major Deal to Redefine Premium Cabins
Raising the Bar: The ‘Elevation’ Suite on the A350-900
Elevating the Single-Aisle Experience: ‘Parallel Diamond’ on the 737 MAX
A Strategic Leap Forward
FAQ
Answer: The airline’s 11 new Airbus A350-900 aircraft and 56 of its Boeing 737 MAX aircraft will be equipped with new business class seats from Collins Aerospace.
Answer: The Airbus A350-900 fleet will feature the ‘Elevation’ suite, while the Boeing 737 MAX fleet will be outfitted with the ‘Parallel Diamond’ business class seat.
Answer: The agreement was signed and announced at the Dubai Air Show.
Sources
Photo Credit: RTX
Airlines Strategy
Singapore Airlines and Malaysia Airlines Formalize Joint Business Partnership
Singapore Airlines and Malaysia Airlines formalize a strategic partnership to coordinate flights, share revenue, and expand codeshares on the Singapore-Malaysia corridor.
This article is based on an official press release from Singapore Airlines.
On January 29, 2026, Singapore Airlines (SIA) and Malaysia Airlines Berhad (MAB) officially formalized a strategic Joint Business Partnerships (JBP). The agreement marks a significant milestone in Southeast Asian Airlines, following the receipt of final Regulations approvals from the Civil Aviation Authority of Malaysia (CAAM) earlier this month and the Competition and Consumer Commission of Singapore (CCCS) in July 2025.
According to the joint announcement, the partnership allows the two national carriers to coordinate flight schedules, share revenue, and offer joint fare products. This move is designed to deepen cooperation on the high-traffic Singapore-Malaysia air corridor and expand connectivity for passengers traveling between the two nations and beyond.
The formalized agreement enables SIA and MAB to operate more closely than ever before. Key components of the partnership include revenue sharing on flights between Singapore and Malaysia and the alignment of flight schedules to provide customers with more convenient departure times. The airlines also plan to introduce joint corporate travel programs to better serve business clients operating in both markets.
A central feature of the JBP is the expansion of codeshare arrangements. Under the new terms, Singapore Airlines will expand its codeshare operations to include 16 domestic destinations within Malaysia, such as Kota Kinabalu, Kuching, Penang, and Langkawi. Conversely, Malaysia Airlines will progressively codeshare on SIA flights to key international markets, including Europe and South Africa.
Goh Choon Phong, Chief Executive Officer of Singapore Airlines, emphasized the mutual benefits of the agreement in a statement:
“Our win-win collaboration strengthens both carriers’ operations, while delivering enhanced value to customers across our combined networks. This also reinforces the long-standing and deep people-to-people and trade links between Singapore and Malaysia, supporting economic growth and connectivity that will benefit both nations.”
The path to this partnership began in October 2019 but faced delays due to the global pandemic and necessary regulatory scrutiny. The Competition and Consumer Commission of Singapore (CCCS) conducted a thorough review, raising initial concerns regarding competition on the Singapore-Kuala Lumpur (SIN-KUL) route, one of the busiest international air corridors globally.
To secure approval, the airlines committed to maintaining pre-pandemic capacity levels on the route. Additionally, the partnership explicitly excludes the groups’ low-cost subsidiaries, Scoot (SIA Group) and Firefly (Malaysia Aviation Group). This exclusion was a critical revision submitted to regulators to ensure fair competition in the budget travel segment. Datuk Captain Izham Ismail, Group Managing Director of Malaysia Aviation Group, highlighted the strategic importance of the deal:
“This collaboration brings together complementary frequencies and aligned schedules, enabling deeper connectivity between Malaysia and Singapore. Over time, it reinforces MAB’s competitive position by enhancing scale, relevance, and network resilience across key markets.”
Consolidation in a High-Volume Corridor
The formalization of this JBP effectively allows Singapore Airlines and Malaysia Airlines to operate as a single entity regarding scheduling and pricing on the full-service Singapore-Kuala Lumpur route. By coordinating schedules, the carriers can avoid wingtip-to-wingtip flying (flights departing at the exact same time), thereby optimizing fleet utilization and offering a “shuttle-like” frequency for business travelers.
While this strengthens the full-service proposition against low-cost competitors like AirAsia, the regulatory exclusion of Scoot and Firefly is a vital safeguard for consumers. It ensures that price-sensitive travelers retain access to competitive fares driven by the budget sector, while the JBP focuses on premium and connecting traffic.
When does the partnership officially begin? Will this affect frequent flyer programs? Are budget airlines included in this deal?
Singapore Airlines and Malaysia Airlines Formalize Strategic Joint Business Partnership
Scope of the Partnership
Expanded Connectivity and Codeshares
Regulatory Journey and Exclusions
AirPro News Analysis
Frequently Asked Questions
The partnership was formally launched on January 29, 2026, following the final regulatory approval from the Civil Aviation Authority of Malaysia.
Yes. While reciprocal benefits for earning and redeeming miles were enhanced in 2024, the JBP is expected to deepen integration, offering better recognition for elite status holders and improved lounge access across both networks.
No. The low-cost subsidiaries Scoot and Firefly are excluded from this joint business arrangement to comply with regulatory requirements and preserve competition.
Sources
Photo Credit: Montage
Airlines Strategy
Qantas to Exit Jetstar Japan Stake and Rebrand by 2027
Qantas will sell its 33.32% stake in Jetstar Japan to a consortium led by the Development Bank of Japan, ending its Asian LCC venture by mid-2027.
This article summarizes reporting by Reuters.
The Qantas Group has announced it will divest its remaining 33.32% shareholding in Jetstar Japan, selling the stake to a consortium led by the Development Bank of Japan (DBJ). The move, confirmed on February 3, 2026, signals the Australian carrier’s complete departure from the Asian low-cost carrier (LCC) joint venture model.
According to reporting by Reuters, the transaction is expected to conclude by mid-2027, subject to regulatory approvals. While the Airlines will continue operations, it will undergo a comprehensive rebranding, removing the “Jetstar” name from the Japanese domestic market. This decision follows the closure of Qantas’s Singapore-based subsidiary, Jetstar Asia, in July 2025, effectively ending the group’s pan-Asian budget airline strategy.
Under the new agreement, the Development Bank of Japan will enter as a major shareholder, while Japan Airlines (JAL) will retain its controlling 50% stake. Tokyo Century Corporation will also hold its position with a 16.7% share.
Qantas has stated that the financial impact of the sale will be immaterial to its earnings. The primary objective appears to be a strategic realignment rather than an immediate cash injection. The airline’s current flight schedules, routes, and staffing at its Narita Airport base will remain unaffected in the immediate term.
Consumers can expect significant changes to the airline’s visual identity. According to market data, a new brand name is expected to be announced in October 2026, with the full transition away from the Jetstar livery completed by mid-2027. Until then, the carrier will continue to operate under its current name.
The divestment allows Qantas to redirect capital toward its core domestic operations and its ambitious “Project Sunrise” ultra-long-haul international flights. In an official statement regarding the sale, Qantas Group CEO Vanessa Hudson emphasized the shift in focus.
“We’re incredibly proud of the pioneering role Jetstar Japan has played… This transaction allows us to focus our capital on our core Australian operations while leaving the airline in strong local hands.”
Vanessa Hudson, Qantas Group CEO
For Japan Airlines and the DBJ, the move represents a “nationalization” of the carrier’s ownership structure. By transitioning to a Japanese capital-led model, the stakeholders aim to better capture the country’s booming inbound tourism market without the complexities of a cross-border joint venture.
“We will respond flexibly to market changes and maximize synergies with the JAL Group to achieve sustainable growth.”
Mitsuko Tottori, JAL Group CEO
The exit from Jetstar Japan marks the final chapter in Qantas’s retreat from its once-ambitious Asian expansion strategy. For over a decade, the “Jetstar” brand attempted to replicate its Australian success across Asia. However, the closure of Jetstar Asia in Singapore in 2025 demonstrated the difficulties of maintaining margins in a fragmented market saturated by competitors like Scoot and AirAsia.
By selling its stake in Jetstar Japan now, Qantas appears to be executing a disciplined retreat. Rather than continuing to battle high fuel costs and intense regional competition from rivals such as ANA’s Peach Aviation, the Australian group is consolidating its resources where it holds the strongest competitive advantage: its home market and direct international connections.
Despite the ownership change, operational ties between the carriers will not be entirely severed. Qantas and Japan Airlines will maintain their codeshare relationship, and Qantas and Jetstar Airways (Australia) will continue to operate their own aircraft between Australia and Japan. The sale strictly concerns the Japanese domestic joint venture entity.
Masakazu Tanaka, CEO of Jetstar Japan, expressed optimism about the transition in a statement:
“As we look to the next chapter… I am pleased to work with the new ownership group to lead our LCC into the future.”
Masakazu Tanaka, Jetstar Japan CEO
The airline will continue to compete in the Japanese LCC sector, which is currently seeing consolidation as major groups like JAL and ANA tighten control over their budget subsidiaries.
Qantas to Exit Jetstar Japan Stake; Airline Set for Rebrand
Transaction Details and Ownership Structure
Rebranding Timeline
Strategic Rationale
AirPro News Analysis
Future Operations
Sources
Photo Credit: Montage
Airlines Strategy
ANA Holdings FY2026-2028 Strategy Targets Narita Expansion
ANA Holdings plans 2.7 trillion yen investment focusing on Narita Airport expansion, fleet growth, and cargo integration through 2028.
This article is based on an official press release from ANA Holdings.
On January 30, 2026, ANA Holdings (ANAHD) announced its new Medium-term Corporate Strategy for fiscal years 2026 through 2028. Under the theme “Soaring to New Heights towards 2030,” the group has outlined a roadmap shifting from post-pandemic recovery to a phase of aggressive growth, underpinned by a record 2.7 trillion yen investment plan over the next five years.
The strategy identifies the planned expansion of Narita International Airport in 2029 as a critical business opportunity. According to the company, this infrastructure upgrade will serve as a catalyst for expanding its global footprint. Financially, the group is targeting record-breaking performance, aiming for 250 billion yen in operating income by FY2028 and 310 billion yen by FY2030.
A central pillar of the new strategy is the preparation for the massive infrastructure upgrade at Narita International Airport, scheduled for completion in March 2029. This expansion includes the construction of a new third runway (Runway C) and the extension of Runway B, which is expected to increase the airport’s annual slot capacity from 300,000 to 500,000 movements.
ANAHD views this development as a “once-in-a-generation” opportunity. The group’s network strategy is divided into two distinct phases:
To support this expansion, ANAHD plans to introduce new Boeing 787-9 aircraft starting in August 2026. These aircraft will feature upgraded seats in all classes, a move designed to enhance the airline’s premium appeal in the competitive international market. The total fleet is expected to expand to approximately 330 aircraft, exceeding pre-COVID levels.
Following the acquisition of Nippon Cargo Airlines (NCA) in August 2025, ANAHD is positioning itself as a “combination carrier” powerhouse. The strategy outlines a goal to integrate ANA’s passenger belly-hold capacity with NCA’s large freighter fleet, which includes Boeing 747-8Fs.
“The group aims to realize 30 billion yen in synergies, positioning the group as a global logistics powerhouse.”
, ANA Holdings Press Release
By combining these assets, the group intends to expand its Cargo-Aircraft scale (Available Ton-Kilometers) by 1.3 times, targeting leadership in the Asia-North America and Asia-Europe trade lanes. The group’s low-cost carrier, Peach, is also targeted for 1.3x growth in scale. The strategy emphasizes capturing inbound tourism demand through Kansai International Airport and expanding international medium-haul routes.
The financial roadmap set forth by ANAHD is ambitious. The group aims to achieve an operating margin of 9% by FY2028 and 10% by FY2030. To achieve these figures, the company has committed to a 2.7 trillion yen investment over five years, with 50% allocated to international passenger and cargo growth.
AI is another significant investment area, with 270 billion yen allocated to digital initiatives. The group aims to increase value-added productivity by 30% by FY2030 compared to pre-COVID levels. This includes a focus on “Empowerment of All Employees,” training staff as digital talent to combat Japan’s shrinking workforce.
The strategic distinction between ANA and its primary domestic competitor, Japan Airlines (JAL), is becoming increasingly defined by hub strategy and cargo volume. While both carriers are modernizing fleets and targeting North American traffic, ANA’s explicit “dual-hub” timeline, banking heavily on the 2029 Narita expansion, suggests a long-term volume play that complements its high-yield Haneda operations.
Furthermore, the integration of NCA provides ANA with a diversified revenue stream that acts as a hedge against passenger market volatility. By securing dedicated freighter capacity via NCA, ANA is less reliant on passenger belly space than competitors who lack a dedicated heavy-freighter subsidiary, potentially giving them an edge in the logistics sector.
In response to market demands for capital efficiency, ANAHD has signaled a commitment to Total Shareholder Return (TSR). The policy includes maintaining a dividend payout ratio of approximately 20% and introducing a new interim dividend system starting next fiscal year. The group also noted it would execute flexible share buybacks.
On the Sustainability front, the group reiterated its goal of Net-Zero CO2 emissions by 2050, focusing on operational improvements and the accelerated adoption of SAF.
ANA Holdings Unveils Aggressive FY2026-2028 Strategy Targeting Narita Expansion
Strategic Pivot: The “2029 Catalyst”
Fleet and Product Upgrades
Cargo and LCC Integration
Peach Aviation Growth
Financial Targets and Digital Transformation
AirPro News Analysis
Shareholder Returns and Sustainability
Frequently Asked Questions
Sources
Photo Credit: Luxury Travel
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