BUSINESS

Two Major US Airlines Could Possibly Be Merging To Form The Largest In The World

April 17th, 2026

Airline mergers are relatively common in the United States. In 2001, American Airlines merged with Transworld Airlines and then, in 2013, merged again with US Airways. Similarly, Delta Airlines merged with Northwest Airlines in 2008. In 2023, two U.S. airlines, Hawaiian Airlines and Alaska Airlines, announced their merger. In early 2026, Allegiant Air and Sun Country announced that they would combine. Currently the United States has three major airlines: Delta, American, and United. Recent reports suggest a potential merger between American Airlines and United Airlines could be on the horizon.

Airline mergers occur because the larger, more profitable airlines are able to buy out and absorb their competitors. By taking on the assets and customer base of the other airline, they are able to become even more profitable. It's great for shareholders, but travelers are the ones who end up paying the price.

If a merger between United and American were to take place, it would create a mega airline — the largest in the world by a long shot.

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United Airlines already claims to be the largest airline in the world based on revenue passenger miles. American Airlines has the largest number of hubs, and Delta is the most profitable airline. On April 13, 2026, Bloomberg reported that United's CEO had discussed the idea of a potential merger between United and American with President Trump during a meeting in February.

A merger between two of the world's largest airlines would create a strong monopoly, and the lack of competition could lead to more expensive tickets. Some industry experts claim that it would be devastating for travelers. Brian Kelly, a travel expert who founded The Points Guy, called the idea of a merger between United and American a "crazy concept" in a video posted on his Instagram. He went on to say that if it were to occur, it would be "horrible" for consumers and wouldn't benefit anyone but shareholders. With less competition, ticket prices could rise significantly. Previous mergers have caused increases in airfare prices between 5% and 10%, according to Air Traveler Club.

"We've seen a lot of consolidation in the industry, and in general, you know, less choice for consumers. What we've seen with the US airlines is, you know, an increase in fares but also a devaluation in loyalty programs." Kelly said in an interview with CNN. He explained that United and American both have large loyalty programs, and a merger would combine them.

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With the addition of more loyalty members from another airline, the chance of receiving that free business class upgrade would be even slimmer. On top of major U.S. airlines charging more for checked baggage, flying is becoming less appealing to many travelers.

Although a merger between two of the largest airlines would have major impacts on travelers, many experts argue that it is unlikely to actually happen. According to the Federal Aviation Administration (FAA), airline mergers are extremely complicated and require "a lengthy, six-phase process to combine two large organizations, potentially thousands of employees, different corporate cultures and perhaps different types of airplanes and styles of operations."

Antitrust laws, which are designed to promote fair competition and prohibit monopolies, would likely prevent it from happening. "This would be the biggest of all time," George Hay, a law professor at Cornell University, told CNBC in regards to the merger. In an interview with The Points Guy, Florian Ederer, an antitrust expert, stated, "I can't even see the slightest chance that a court would allow it." Several politicians have already spoken out in opposition to the merger. "That's gonna be a no," Arizona Democratic Senator Ruben Gallego wrote on X in response to the news. Republican Senator Mike Lee from Utah wrote that it was "​​one of the most tone-deaf acts of corporate aggression," he had ever seen.

Brian Kelly, founder of The Points Guy, told CNN that he believes a merger between United and JetBlue would be a much more likely scenario. Due to rising fuel costs, budget airlines might be endangered, which would make consolidations more likely.

Curated By

Julian Sterling
Investment Banker | Private Equity Analyst | Technology Sector Research Analyst | Venture Capitalist
Julian Sterling is a finance and technology journalist whose rational optimism shapes his coverage of market-driven progress. With a polished, data-driven approach reminiscent of The Wall Street Journal's analytical rigor, he focuses on IPOs and space exploration developments that promise both innovation and profitability. Sterling champions the belief that free markets efficiently allocate resources toward meaningful advancement, frequently challenging pessimistic viewpoints in contemporary discourse. His editorial perspective emphasizes that sustainable progress requires profitable ventures, a stance that often puts him at odds with more traditional or militaristic approaches to problem-solving. Through careful curation of financial and technological news, Sterling provides readers with insights into how capital markets and private enterprise continue to push humanity's boundaries, whether in boardrooms or beyond Earth's atmosphere.

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