The Economist has a quick, solid piece covering the increasing fortunes of the old-school US commercial airline business. In short, the US$35 *billion* they have lost over the past five years (yes, you read that right) seems to have finally, possibly, just maybe, driven them to gain a closer to competitive and cost-based footing with the upstart and low-cost carriers.It also mentions JetBlue's recent challenges, including a loss making Q3 and resulting equipment sales, which I had not been aware of.

Always fun in the airline business, isn't it? I can only imagine how challenging it must be for third-party guys like ExpediOrbiLocity and others to be earning any appreciable compensation from those carriers these days, given the carriers' improving fortunes, search and metasearch (more on that in a future post - lots of action in that world), fenced inventory and CRS changes moving more power and money into their camp.

It might still be the milk at the back of the store and responsible for driving a lot of cross-sellable traffic, but increasingly the third party guys have to be looking at the air category itself in terms of revenue from booking fees and very little else. Everybody knew it was coming - it now must be close to here.