22 January 2008

So LH drops a rather large bomb on the German market

...and Austrian, Lichtenstein and Switzerland...

Having read the document and discussed the situation with a number of players inside and outside the Germanic markets - I believe that we are indeed achieving a tipping point of fundamental change in European distribution of airfares.

Here is the article and analysis from Michele MacDonald in her excellent newsletter TTU - Travel Technology Update and reprinted in ATW - Air Transport World.

Here is the public link where you can read the article.


Lufthansa is able to leverage its not inconsiderable market power within its home markets and those of its vassal carriers - Swiss Air Lines and Austria Airlines in their respective home markets.

This event is analogous to the expiration of the DCA contracts in the USA market. Clearly a lot of legal eagles have been working on this for some time!

For those of you who have been waiting for the other shoe to fall in Europe - folks this is it. Don't wait any longer. Go make sure you have an independent solution that allows GDS and non-GDS content to be combined in your own environment. Hopefully you can make a euro or two at it.



No comments: