It’s official: United Airlines and JetBlue are teaming up in a new partnership the carriers are calling Blue Sky.

Details: New JetBlue – United “Blue Sky” Partnership

The partnership includes reciprocal loyalty benefits and a path to return to JFK for United. Details are still limited at this point, but let’s take a look at what we know:

Reciprocal Mileage Earning

Starting this autumn, United’s MileagePlus customers can earn and use miles on most JetBlue flights and JetBlue’s TrueBlue members can earn and use points for flights on United. Unlike United’s (very limited) partnership with Emirates, this collaboration should give United members access to the full range of JetBlue flights and JetBlue customers will have access to United’s entire domestic and international network.

Each airline will offer flights on the other’s website and app to “make booking across the two airlines’ complementary networks simple and easy.” Blue Sky includes an interline agreement, not a codeshare, meaning each airline will continue to publish and market flights independently under its own brand and flight numbers.

Reciprocal Elite Benefits, Not Including Upgrades

A limited range of reciprocal loyalty benefits will be available, including:

• Priority boarding
• Complimentary access to preferred and extra legroom seats for elite members
  • EconomyPlus seats on United and EvenMore seats on JetBlue will be available on a complimentary basis only at check-in, regardless of elite status
• Same-day standby/switch

There’s no mention (yet) of reciprocal upgrades. Here’s a chart showing the reciprocal benefits:

A Return To JFK For United…In 2027

As part of the airlines’ agreement, JetBlue will provide United access to slots at New York’s JFK International Airport for up to seven daily round-trip flights out of Terminal 6 to begin “as early as 2027.” And, as part of a “net-neutral exchange” (their words, not mine…), JetBlue and United will “exchange eight flight timings at Newark” (EWR).

United Will Use JetBlue’s Paisly Platform

United will move its website and mobile app’s ability to sell hotels, rental cars, cruises and travel insurance, on both a stand-alone and package basis, to new technology and services provided by JetBlue’s Paisly platform.

What The Leaders Are Saying

The leaders of JetBlue and United are making media rounds this morning, largely sticking to script.

Joanna Geraghty, CEO of JetBlue, said:

“This collaboration with United is a bold step forward for the industry — one that brings together two customer-focused airlines to deliver more choices for travelers and value across our networks. United’s global reach perfectly complements JetBlue’s East Coast leisure network, and significantly expands the options and benefits for TrueBlue members, no matter where in the world they are traveling. This is a clear win for our customers and crewmembers, and supports our JetForward strategy.”

Scott Kirby, CEO of United, said:

“Blue Sky reflects our airlines’ shared focus on innovation and the customer experience. The JetBlue brand is tied to a great product and under Joanna’s leadership the airline continues to deliver for customers. We’re always looking for ways to give our MileagePlus members even more value and benefits and this collaboration gives them new, unique ways to use their hard-earned miles and find options that fit their schedule. Plus, our employees are really excited about United’s return to JFK for the longer-term and we’re all looking forward to starting up flights very soon.”

That “very soon” line strikes me as telling.

This new deal is subject to regulatory approval.

My Thoughts

Candidly, I find the first stage of this partnership deeply underwhelming for United Airlines. United is giving JetBlue access to its worldwide network of flights and its customer base via MileagePlus and in return, will not be able to return to JFK until 2027.

Even then, seven slots are quite underwhelming. Four flights a day to San Francisco (SFO) and three to Los Angeles (LAX) are certainly better than nothing, but will make it difficult to scale up operations and meaningfully compete.

I can’t help but think, knowing Kirby, that this is the opening round in game of chess, with the ultimate goal being the acquisition of JetBlue. Kirby may be playing the long game, but this stretches out the game longer than I thought. Based on Kirby’s “very soon” comment, I’m predicting the JFK timeline will be moved up to 2026, despite ongoing terminal construction.

The partnership does accomplish two purposes. First, it allows JetBlue and United to “date,” allowing the two carriers to see if they are compatible. Second, it squeezes American Airlines out, since polyamory, when it comes to domestic airlines, is not generally tolerated.

Ultimately, JetBlue would have been foolish to cede its “bread and butter” transcon routes to United and it gets a lot out of this deal in exchange for relatively little. It will give up seven JFK slots, but gain eight in EWR and access to United’s much larger customer base. JetBlue really missed out by not acquiring Virgin America, a missed opportunity that likely would have solved all of the carrier’s issues.

It’s great news for MileagePlus members who will have access to JetBlue flights and even better news for TrueBlue members who can redeem on United flights. While this strengthens both loyalty programs, it also means more miles will be chasing the same number of seats. When demand outpaces supply, point devaluations continue.

CONCLUSION

The long-rumored, often-leaked JetBlue-United partnership is now official. The so-called “Blue Sky” partnership will usher in a return to JFK for United and reciprocal benefits for JetBlue and United flyers. I really thought United would be more emboldened in this regulatory landscape to make a stronger move for JetBlue, but I would give it time…I sense that is still the end game and today marks the long but steady march toward that goal.

What are your thoughts about the new United-JetBlue Blue Sky partnership?