AUSTIN- According to Cirium Diio, a leading airline analytics platform in the aviation sector, American Airlines (AA) is preparing significant reductions to its network operations in Austin (AUS), which are likely to take effect in early 2024.
These adjustments are expected to be integrated into the airline’s schedule updates, which are normally made on Saturday nights.
American Airlines Cancelling Austin Flights
Throughout 2021 and 2022, American Airlines focused on transforming Austin-Bergstrom Airport (AUS) into an important hub.
Instead of focusing on American Airlines hubs, the airline’s network in Austin has expanded to include more than thirty destinations ranging from Cancun and Orange County to Tampa. However, it appears like this growth is going to be toned back.
According to the report, American Airlines intends to terminate service from Austin to the following destinations:
After February 2024, the following cities will be closed: Albuquerque (ABQ), Bozeman (BZN), Cincinnati (CVG), Cozumel (CZM), Destin-Fort Walton (VPS), and Eagle-Vail (EGE). Eagle-Vail may reopen seasonally.
After February 2024, El Paso (ELP), Fort Myers (RSW), Jacksonville (JAX), Kansas City (MCI), Liberia (LIR), Memphis (MEM), Montego Bay (MBJ), and Nassau (NAS) would be affected.
Oklahoma City (OKC) after February 2024; Puerto Vallarta (PVR) after April 2024; Punta Cana (PUJ) after March 2024; Sacramento (SMF) after February 2024; Tampa (TPA) after February 2024; Tulsa (TUL) as of 2024; and Washington Dulles (IAD) after February 2024.
This represents more than half of the destinations now served by American Airlines from Austin. As a result, American will have fewer nonstop routes, focusing instead on hub-to-hub flights.
Some of the remaining Austin destinations will be Boston, Cancun, Charlotte, Chicago, Dallas, Las Vegas, Los Angeles, Miami, New York, Orange County, Philadelphia, Phoenix, Raleigh, Reno, and a few others.
Reasons for This Cuts
Austin has recently witnessed considerable expansion, although this growth appears to be diminishing. This is visible in a variety of ways, including a large drop in housing prices from July 2022 to July 2023, which exceeded declines in other major cities.
Austin’s aviation scene has also suffered issues, with Virgin Atlantic ceasing flights and British Airways cutting winter services.
Analyzing American Airlines’ service reductions in Austin, as reported by OMAT
- American Airlines had anticipated continuing expansion in Austin in order to acquire an advantage over other big carriers, but this growth has not occurred as projected.
Austin relied mainly on origin and destination (O&D) travel rather than connecting traffic, owing to the proximity of American’s Dallas hub to Austin.- Many American flights out of Austin were operated by American Eagle regional airliners. Given the end of the Northeast Alliance between American and JetBlue, these regional jets may be in more demand in the Northeast.
American Airlines’ strategy in Austin is not the first to fail, as it has previously attempted to transform Seattle into a long-haul hub. Nonetheless, the airline believes it is undervalued due to difficulties in effectively communicating its story to the public.