Competition Heats Up... But LAX Is The Real Winner

Earlier this year, the US and Australia reached an Open Skies aviation agreement eliminating restrictions and allowing any US or Australian airline to establish routes between the two countries.

Dominated for many years by Qantas Airways, the LAX-Sydney run will likely become a hotbed of competition by summer 2009, as passengers will have their choice of four non-stop carriers by then -- Qantas, Delta, United, and V Australia.

In an expansion of its international services, world's largest carrier Delta Air Lines said it will offer non-stop flights between Los Angeles and Sydney, starting in July. In addition, Delta will also begin non-stop service to Sao Paulo, Brazil on May 21.

Bob Cortelyou, Delta's senior vice president of network planning said, "You will be able to get anywhere in the world on Delta." Whether passengers are flying to destinations in Australia, South America, or Asia, "we can funnel the whole country through LAX," he said.

"With Delta's vast domestic network, I can't see how this flight wouldn't succeed," said Terry Trippler, a Minneapolis-based travel consultant.

Right off the bat, Delta announced a promotional one-way flight fare of $499, utilizing the Boeing 777-200LR, the world's longest range airliner.

But before Delta's future flights have the chance to become reality, Qantas matched Delta's fare on flights aboard its Airbus A380 super-jumbo jet service between LAX and Australia.

Also throwing its hat in the ring is British billionaire Richard Branson's new airline 'V Australia' with plans to begin flying the LAX-Sydney route in February.

"This is a market that needs somebody else in there," Trippler said. "It's good for competition and good for travelers." It's also good for LAX, which has felt the impact of recent air travel cuts and the economic crisis, the Times reported.

FMI: www.delta.com, www.qantas.com.au, www.united.com, www.vaustralia.com.au, www.lawa.org