Airlines Strategy
Berlin Court Bans eDreams Prime Terms Over Transparency Issues
Berlin court blocks misleading terms in eDreams Prime subscription, strengthening German consumer transparency laws and Ryanair’s push against OTA practices.
Berlin Court Rules on eDreams Prime Terms
We are witnessing a significant development in the ongoing legal dispute between Ryanair and the online travel agent eDreams ODIGEO. On November 26, 2025, the Berlin Regional Court granted a permanent injunction against eDreams. This ruling specifically targets certain terms and conditions associated with the company’s Prime subscription service, which the court found to be in violation of German consumer protection laws. This decision marks the latest chapter in a multi-jurisdictional conflict regarding how third-party platforms sell air travel.
The core of this legal action revolves around transparency. The court prohibited eDreams from utilizing specific clauses that were deemed misleading regarding the savings consumers could achieve through the Prime subscription. Furthermore, the ruling addressed the mechanisms of the subscription itself, specifically how fee increases were communicated to users. The court found that eDreams failed to provide adequate disclosure regarding when membership fees might rise, ruling that terms implying a customer’s continued use of the service constituted tacit acceptance of these price hikes were unlawful.
This judgment is particularly notable because it reinforces the strict transparency requirements mandated by the German Unfair Competition Act. For the aviation and travel technology sectors, this serves as a critical case study on the boundaries of digital subscription models and the presentation of price comparisons. While Ryanair views this as a confirmation of their long-standing complaints against Online Travel Agents (OTAs), the implications extend to how digital services across the European Union structure their auto-renewal and pricing policies.
The Battle of Narratives: “Pirates” vs. “Legacy” Systems
Following the ruling, the response from both stakeholders highlights the intense competitive friction between direct airline bookings and OTA aggregators. Ryanair immediately welcomed the decision, utilizing the verdict to bolster their campaign against what they term OTA Pirates. The Airlines’s position is that these intermediaries often overcharge consumers or obscure the true cost of travel services. By securing this injunction, Ryanair aims to pressure EU Consumer Protection Authorities to enforce similar standards across the continent, arguing that such transparency is essential for consumer welfare.
“We welcome the Berlin Regional Court’s decision to grant a permanent injunction prohibiting eDreams from using eDreams Prime terms and conditions that the Court has previously found to be ‘unlawful’ or ‘misleading’.”, Ryanair Spokesperson.
Conversely, eDreams ODIGEO has publicly dismissed the ruling as substantially irrelevant to their current operations. In their response issued on November 27, 2025, the company argued that the injunction pertains to a legacy version of their website and specific display formats that have long been discontinued. According to eDreams, the court’s decision does not impact the core value proposition of the Prime subscription or the benefits currently offered to subscribers. They maintain that the ruling is strictly limited to the visual placement of information on an outdated interface.
We must also consider the broader context of this rivalry to understand the full picture. While Ryanair secured this victory in Berlin, the legal landscape is mixed. For instance, in July 2025, a commercial court in Barcelona ruled in favor of eDreams, ordering Ryanair to cease its denigration campaign. In that instance, the Spanish court found that Ryanair’s accusations that eDreams deceives customers constituted unfair competition. This back-and-forth suggests that while individual battles are being won and lost, the war for market dominance and customer ownership remains unresolved.
Implications for the “Approved OTA” Model
A central element of Ryanair’s Strategy is the push for its Approved OTA model. The airline has successfully negotiated agreements with several other travel aggregators, such as Loveholidays, Kiwi, and On the Beach. These agreements typically require the OTA to cease screen scraping, the practice of using software to extract data from the airline’s website without permission, and to provide the airline with direct customer contact details. This ensures the airline can communicate directly with passengers regarding flight changes or ancillary services.
eDreams remains the most significant holdout in this strategy, refusing to sign such an agreement. The Berlin ruling provides Ryanair with additional leverage to argue that non-approved OTAs operate with insufficient transparency. However, eDreams continues to argue that their model provides unique value through interlining (combining flights from different carriers) and bundled discounts that a single airline cannot replicate. The friction here is fundamentally about who owns the customer relationship: the carrier operating the flight or the platform facilitating the booking.
Looking ahead, we anticipate that this ruling will encourage further scrutiny of digital subscription models in the travel industry. The Berlin Regional Court’s decision aligns with a wider trend among European regulators to crack down on dark patterns, user interface designs that may trick users into doing things they didn’t mean to, such as agreeing to hidden fees. Whether eDreams is forced to alter its current interface or if their legacy defense holds up in the court of public opinion remains to be seen.
Conclusion
The permanent injunction granted by the Berlin Regional Court represents a tangible legal victory for Ryanair in its campaign for greater transparency in the OTA market. By successfully challenging the terms and conditions of the eDreams Prime subscription, the airline has highlighted the legal risks associated with misleading savings claims and opaque renewal clauses. However, the practical impact of this ruling may be tempered if, as eDreams claims, the judgment applies only to discontinued website iterations.
Ultimately, this case underscores the evolving regulatory environment surrounding digital travel sales. As courts in Germany, Spain, and the United States continue to weigh in on issues ranging from screen scraping to defamation, the industry is moving toward a pivotal moment. We expect that the pressure for clear, transparent pricing and fair competition will force both airlines and OTAs to refine their digital strategies to ensure compliance and maintain consumer trust.
FAQ
What did the Berlin Regional Court rule regarding eDreams?
The court granted a permanent injunction prohibiting eDreams from using specific terms and conditions for its Prime subscription that were deemed misleading and unlawful, particularly regarding savings claims and fee transparency.
How has eDreams responded to the injunction?
eDreams stated that the ruling is substantially irrelevant because it concerns a legacy version of their website and display formats that are no longer in use.
Does this ruling affect all Online Travel Agents (OTAs)?
No, this specific ruling is against eDreams. However, Ryanair is using the verdict to call for broader enforcement of transparency standards across the OTA industry.
Sources
Photo Credit: Ryanair
Airlines Strategy
Japan Airlines and Korean Air Sign MOU Ahead of Asiana Merger
Japan Airlines and Korean Air expand their 60-year partnership with an MOU covering codeshares, cargo, and SAF ahead of the Asiana integration.
Japan Airlines Co., Ltd. (JAL) and Korean Air (KE) signed a Memorandum of Understanding on September 3, 2026, to expand their strategic partnerships ahead of Korean Air’s scheduled integration of Asiana Airlines. The agreement prepares the carriers to scale their bilateral cooperation across a significantly larger combined network.
In a press release, Japan Airlines stated the expanded alliance builds upon a 60-year relationship between the two flag carriers. The partnership will encompass expanded codeshare operations, frequent flyer program alignment, and joint initiatives in cargo, ground handling, and sustainable aviation fuel.
Preparing for the Asiana integration
The timing of the agreement aligns with the final stages of Korean Air’s acquisitions of Asiana Airlines. Following formal approvals from the Korean Air board and Asiana Airlines shareholders on August 12, 2026, the integrated airline is scheduled to launch on December 17, 2026.
Japan Airlines indicated that existing partnerships will be evaluated and progressively aligned with the expanded network of the integrated airline. According to AeroCorner, codeshare operations between Japan Airlines and Korean Air are expected to increase from approximately 250 weekly flights to roughly 400 weekly flights following the December integration.
The carriers plan to extend their cooperation beyond passenger flights. The memorandum outlines large-scale collaboration in operational areas including aircraft maintenance, cabin crew training, and ground handling services.
Financial ties and historical context
Alongside the operational agreement, Japan Airlines acquired an undisclosed equity stake in Hanjin KAL, the holding company of Korean Air. In a statement reported by The Korea Herald, Japan Airlines characterized the acquisition as an independent investments decision based on the long-term market value of Hanjin KAL. The exact size of the stake remains undisclosed, as no regulatory filings indicating a holding of five percent or more have been published.
The strategic partnership memorandum was signed in Tokyo by Japan Airlines President and Group CEO Mitsuko Tottori and Korean Air Chairman and CEO Walter Cho. The agreement marks a continuation of ties that began in April 1963 with an initial cooperation agreement, followed by the launch of joint flights between Japan and South Korea in the spring of 1964.
Japan Airlines stated the partnership will “elevate the strong cooperative system that both companies have cultivated to the next level, creating new value and customer experiences in the global market.”
AirPro News analysis
We view the timing of this expanded partnership as a strategic maneuver by Japan Airlines to secure its position in the Northeast Asian market ahead of the Korean Air and Asiana Airlines merger. By deepening ties now, Japan Airlines ensures it remains the preferred Japanese partner for the incoming mega-carrier. The equity stake in Hanjin KAL, while undisclosed in size, serves as a financial anchor to the operational memorandum. This investment likely provides Korean Air leadership with a stable, friendly shareholder as they navigate the complex final stages of the Asiana integration.
Sources: Japan Airlines
Photo Credit: Japan Airlines
Airlines Strategy
Southwest Airlines to Launch First Airport Lounges in 2027
Southwest Airlines plans to open its first airport lounges in late 2027 at four locations, in partnership with Chase.
Southwest Airlines Co. (LUV) and JPMorgan Chase & Co. announced plans on September 2, 2026, to launch the carrier’s first-ever airport lounge network, with initial locations slated to open in late 2027. The infrastructure investment represents a historic departure for the 55-year-old airline as it aggressively overhauls its business model to capture premium revenue and compete directly with legacy carriers.
In a press release issued on September 2, 2026, Southwest Airlines confirmed that construction is already underway at four initial lounge locations. The announcement follows a July 23, 2026, earnings call where CEO Bob Jordan first indicated that airport lounge development was in progress.
Initial locations and Chase partnership
The first phase of the lounge network will debut at four major Southwest operating bases. The confirmed locations are Austin-Bergstrom International Airport (AUS), Baltimore/Washington International Thurgood Marshall Airport (BWI), Daniel K. Inouye International Airport (HNL) in Honolulu, and Nashville International Airport (BNA).
The airline stated that at least seven additional lounges are planned for high-demand business and leisure markets over the next several years. While the specific airports for the subsequent expansion phase have not been officially disclosed, the initial four represent some of the carrier’s most critical nodes for connecting and point-to-point traffic.
The lounge network is being developed in partnership with Chase, expanding a 30-year relationship between the two companies. Access to the facilities will be tied to a new, premium Southwest Rapid Rewards credit card issued by Chase, which is scheduled to launch concurrently with the first lounges in 2027. The physical spaces will draw on the design and operational framework of the existing Chase Sapphire Reserve Lounge Network.
“Southwest Airlines has built one of the most trusted brands in travel by delivering authentic Hospitality that Customers value. Our lounges will be a natural extension of that experience, offering Customers a place to relax and experience the Southwest brand in a new way.”
Tony Roach, Executive Vice President and Chief Customer & Brand Officer at Southwest Airlines, noted in the release that the lounge network represents a strategic investment in the Rapid Rewards program and deepens the financial partnership with Chase.
A radical shift in the Southwest model
The introduction of airport lounges is the latest in a series of fundamental changes to the Southwest Airlines passenger experience. The carrier has been undergoing a radical transformation of its business model to improve profit margins and attract higher-spending premium travelers.
This strategic pivot follows sustained pressure from activist investor Elliott Investment Management, which has pushed the airline’s leadership to adopt industry-standard revenue practices. Prior to the lounge announcement, Southwest abandoned its historic open seating model in favor of assigned seating and introduced extra-legroom premium seats.
The airline also ended its famous “Bags Fly Free” policy on May 28, 2025, introducing checked bag fees to align with competitors and generate ancillary revenue.
AirPro News analysis
We view the introduction of a proprietary lounge network as the final confirmation that Southwest Airlines has entirely abandoned its original low-cost carrier (LCC) identity. By adding assigned seating, premium legroom, bag fees, and now airport lounges, Southwest is transitioning into a hybrid carrier model designed to compete directly with Delta Air Lines, United Airlines, and American Airlines for lucrative corporate and premium leisure traffic.
The partnership with Chase is the financial engine making this infrastructure investment possible. To successfully launch a high-annual-fee premium credit card in 2027, Southwest requires a tangible premium product on the ground. The initial locations in Austin, Baltimore, Honolulu, and Nashville target markets with high volumes of originating traffic where Southwest holds a dominant market share, ensuring immediate utilization of the new facilities upon opening.
Sources: Southwest Airlines Co.
Photo Credit: Southwest Airlines Co.
Airlines Strategy
Riyadh Air and Saudia Launch First Codeshare Phase
Riyadh Air places its RX code on six Saudia domestic routes, launching the first phase of their codeshare agreement.
Riyadh Air and Saudia have officially launched the first phase of a strategic codeshare agreement, allowing the start-up carrier to place its “RX” designator code on six domestic routes operated by the Saudi flag carrier. Announced on August 27, 2026, via the Saudi Press Agency, the partnerships enables passengers to book connecting flights on a single ticket with baggage checked through to the final destination.
The integration aligns with Saudi Arabia’s National Aviation Strategy by linking the networks of its two major national carriers at King Khalid International Airport (RUH). The codeshare launch follows a Strategic Cooperation Memorandum of Understanding (MoU) signed by the two airlines on November 14, 2023.
Domestic network integration
The initial phase of the codeshare agreement covers Saudia-operated flights to Abha, Qassim, Dammam, Jeddah, Madinah, and Tabuk. Both airlines operate from Terminals 1 through 4 at RUH, a setup designed to facilitate seamless passenger connections between the two carriers.
Vincent Coste, Chief Commercial Officer of Riyadh Air, highlighted the technological focus of the partnership in the official announcement.
“Integrating different technology environments has been a fundamental principle of Riyadh Air’s digital model since its inception. This first major step in our cooperation with Saudia represents a significant milestone for the aviation sector. By bringing our strengths together, we are redefining the travel experience within the Kingdom,” Coste stated.
Broader expansion and global strategy
As a Public Investment Fund (PIF) company, Riyadh Air is building its operational framework ahead of its planned commercial launch. While the Saudia partnership secures domestic feed, the airline is simultaneously establishing its international footprint.
International regulatory approvals
Beyond domestic integration, Riyadh Air is rapidly securing international access. According to reporting by Aviation Week, the carrier recently obtained regulatory approval for flights to Beijing, Shanghai, and the United States. To build its global network, the airline has also signed strategic agreements and MoUs with multiple international operators over the past two years, including Delta Air Lines, Virgin Atlantic, Air China, and Turkish Airlines.
AirPro News analysis
We view this codeshare implementation as a critical operational test for Riyadh Air’s IT infrastructure before it begins operating its own aircraft. By utilizing Saudia’s established domestic network, Riyadh Air can market a comprehensive Saudi destination portfolio from day one of its commercial operations without needing to immediately deploy its own aircraft on short-haul domestic routes. This dual-carrier strategy effectively splits the market focus, allowing Saudia to maintain its domestic and religious traffic dominance while Riyadh Air concentrates on building RUH into a global transit hub to compete with neighboring Gulf carriers.
Sources: Riyadh Air
Photo Credit: Riyadh Air
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