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Airbus A 380 /Netjets Hits an Airpocket

Airbus_380_1Jason Raper in the grad class asked how could they (Airbus) build such a thing?  Well, log on to
the Airbus Site   and read all about it.  And there is a story on its first round the world  proving trip.  Once one is committed, it is of course near impossible to change the story.  And for carriers like Singapore Air, maybe it does make sense. After all, Singapore is the hub and the world’s major airports are the spokes, there are no inbetween routes to speak of I would think.  And as you can see on the site, they are betting big on China, but then everyone since Marco Polo has been wanting those millions of customers.
No doubt Airbus will say the fat lady has not yet sung the battle is not over yet. 

Clint Eastwood said you can learn as much from a bad movie (in terms of movie making) as you can from a good one, and by golly, the maker of Pink Cadillac  (yuck) and Play Misty for Me (now that’s more like it) ought to know.  What did Airbus see in the Big Bird that simultaneously caused Boeing to reject it?  After all the three networks all turned Simon Cowell down on American Idol, Murdoch with maverick Fox said yes but only after a call from his daughter. My point is that there is a lot to be learned from mistakes.   Clearly Airbus thought the hub and spoke system was the wave of the future and the most seats to the hub would win.  Thirty years ago as I have noted, the world’s carriers thought they wanted a supersonic airplane, turns out they didn’t.

Also-interesting article in the latest B/W.  It turns out that corporate jets are made for about 500 hours flying a year not 1200. So when you divide up the ownership 16 ways, the plane is flown beyond the design limit and it spends lots of time in the shop.  So the leasor is having to find more aircraft to fulfill the promise to the leasees so there goes the budget.  By the way intermed class, would that  be an operating or a capital lease?  Here is another example of poor planning, and having to make up the difference.

DLE

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2 responses to “Airbus A 380 /Netjets Hits an Airpocket”

  1. Jason Raper Avatar
    Jason Raper

    I read the article on the Airbus site. You know the ideology of making an airplane that can carry more passengers and cargo is a good theory…as long as the operating costs are decreased. Maybe this is one way that an airline can get profitable? The lower required personel for the flight, decrease the amount of R and M required to repair the plane….but the downside is fewer flights offered. Maybe that needs to happen! Especially on the longer….drawn out flights(coast to coast) But where is the breakeven point between the longer and shorter flights that are offered? Can this plane find that breakeven point and continue to be cost effective? Am I correct in saying that 90% of all passengers in the M-F flights are business travelers? Most of them are flying on the company tabs to begin with; and that in turn is always to assume lowest cost for the company.
    My point in this design is…does it tailor to the needs of the airline to run profitable? Can it cover the costs of the shorter flights and keep margins high on the longer flights. 35% of the revenue on that flight also comes from cargo. Lord knows that logistically the freight industry needs a larger bay door to fit larger airfreight on the plane…a common issue with all of us in logistics. But the next question is….will there be a demand in cargo for that flight, and will there be an ability to fill that plane’s cargo section….completely…airfreight is time sensitive and very costly.
    I guess my point in this whole mess I have written is that it still seems logical to create one type of plane that suits all of us…regardless of class….and make it smaller. However, what suits one airline will not suit the rest. As may be the case for Singapore Air!
    One plane….one set of tools….one kind of pilot….one maybe two primary suppliers, and we all know what we get from it. Lower the amount of flights you offer, make the demand per flight increase, cut some of the union workforce, negotiate some fuel aggreements., and DON’T MAKE THE MISTAKE OF GETTING RICH AND COMPLICATED! Keep it simple and keep it profitable.
    I have alot of questions, just no solid solutions. But that’s why I would never take the job of CEO at Delta!

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  2. Dennis Elam Avatar
    Dennis Elam

    Okay this deserves a new post!

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