Industry experts are bullish about the development, which according to them is the first airline launch in the mainline category in more than a decade. Airbus plans to start delivery in 2021. The narrow-body A220-300 jets, previously known as Bombardier CSeries, is finding many takers at the air show, including JetBlue.
Neeleman is launching the new venture with external funding from a group of investors
In a statement issued on the sidelines of the air show, Neeleman said, “After years of U.S. airline consolidation, the conditions are improving for a new generation of U.S. airline to emerge. The A220 will enable us to serve thinner routes in comfort without compromising cost, especially on longer-range missions.”
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Last month, media reports stated that Neeleman was in talks with regulators to start a new airline to be named Moxy. Since then, speculations were rife about the scale and nature of the venture. It was widely expected that Neeleman would place the order for a fleet of aircraft either with Airbus or its American rival Boeing (BA).
Neeleman, a veteran in the airline industry, has played a vital role in launching several airlines in the past, including JetBlue, Morris Air, Canada-based WestJet and Azul of Brazi. Neeleman founded Azul in 2008 after leaving JetBlue.
Meanwhile, the high-value orders from the leading players in the industry have brightened the prospects of the A220-300 series, which Airbus recently incorporated into its fold by acquiring the CSeries aircraft family from Canadian aircraft-maker Bombardier.