In October 2024, Qatar Airways announced its intention to invest in Virgin Australia. While we’ve known for months that this has been in the cards, up until now, the deal has been awaiting approval from the Australian government. There’s now an exciting update, as that approval has been granted, so this deal can move forward.
Continue reading: Qatar Airways Buys 25% Stake In Virgin Australia: Genius & Sneaky
Share your questions, experiences, and thoughts below.
They don't care about their alliance, and instead make investments in other airlines and focus on strategic partnerships. How 'premium' of them!
@ Jerry -- You're referring to Qatar Airways? Because the airline wanted a close partnership with its alliance partner Qantas, but was rejected, with Qantas actively campaigning against the airline.
Genius. Now do same in Canada, so we can stop subsidizing our utter garbage national carrier by not allowing QR in.
It's a really tricky balance. Australian government should be protecting Australian citizens' interests and Australian businesses.
However, Qantas is deeply in bed w/ the Ozzie government and like all profit driven corporations, they do not have the Australian consumer's best interests in mind.
Some level of healthy competition is good, however, there is an imbalance in terms of cost and operating structures between ME3 and Australian carriers.
Ultimately, getting more service and connectivity is beneficial for Australians since they're literally so far away from anything, it's hard to get good itineraries to anywhere.
Great news. Qantas has been harnessing ridiculous governmental protections and acting in best interest of their shareholders, to the detriment of Australians and tourists. Hoping Qatar takes a swing at the pan-pacific routes into the USA. Most overpriced routes out there.
Please stop using the word "fun" as you have. It's not a playground. I recommend you read a book released last October by Joe Ashton which was a best seller, called "The Chairmans Lounge". It provide a whole insight into the previous qantas CEO.
Another government happy to cuck-out to a known state sponsor of terrorism because they have a giant chequebook. Weak.
Bilateral agreement with the UAE = 168 flights.
Bilateral agreement with Qatar = 28 flights.
The ratio is 6 unless Qatar gets 24 flights.
6x or 7x?
You have a choice of Qantas, American, United, Delta, Hawaiian, Air Canada, Air New Zealand, or Fiji Airways to get to North America from Australia. Given that Qatar's business class fares are often at a premium to other carriers, how would their entry into the trans-Pacific market drive fares lower?
Qatar doing that makes no sense though, unless Australia would grand them the rights to fly fifth freedom flights directly between Australia and the US.
Something like SYD-DOH-SFO is over 2x the length of SYD-SFO, in fact, each individual leg is longer than SYD-SFO.
I have always found that Qantas not Qatar charges the highest fares. Largely based on an outdated view of Qantas as Australia's National Carrier, which only was true when the Australian Government owned them. Since those days Qantyas quality and especially customer performance has slid way down the ladder. Qatar is vastly better, reliable throughout the pandemic and priced appropriately to their excellent hard and soft product.
This is welcome and overdue.
As an Australian , the government protection of our so called National airline “ Qantas “ is nominally a good thing.
Sadly Qantas has abused that support by refusing competition thus driving up prices artificially.
Additionally , Qantas has further abused this support by being so Sydney-centric . I haven’t travelled internationally on Qantas for over 30 years! Why? Because so few QF flights go non stop from Melbourne (currently 2nd most populous and soon to be most populous city). To fly to many ports one must fly domestic to Sydney, collect bags , change terminals, recheck in etc - typically adding 4 or more hours, all whilst paying more for the privelege !!
We are long term VA Platinum and fully embrace this deal. We hope for more flights from AU on Qatar metal and expansion to other routes. We will fly this, bsuiness class every time, often.
It would be Virgin Australia flying to the US if it ever happens. That is what is implied here. If Virgin Australia can get some Qsuite equipped planes wet leased from Qatar Airways for the US routes, that would an interesting option.
While Australia has probably been the most aggressive in picking one of the Middle East carriers over another, not every country sees the benefit of having unlimited competition from the ME4 (if TK is included). EK got in most markets as the first mover which is part of why QR has been more aggressive with its equity purchases.
Let's see if prices from Australia to Europe come down
Oh yes - another government owned airline buying an Australian airline for "customer improvement".
Historically this has always ended well. - last time Virgin was owned by 3 government backed airline - tried to put Qantas in the ground - went bankrupt after having a loss for 7 years.
Australia relies so heavily on aircraft movements for transport around our massive but sparsely populated country - strong airlines are good - having them owned by foreign governments not great.
As to travelling public? We pay more for our fairs. But I tell you what, every time I head to North America, have to pour out my water as I go through security - deal with sad and angry customer service and pay close to what I do here I remember just how easier and wonderful flying Australian carriers are.
We shall wait an see how long Virgin lasts this time. Maybe we can revive Ansett again - or REX - Or Bonza - oh wait.
Agreed, as someone based out of Western Canada, I'd love for QR to serve other markets like YVR/YYC. It's just painful to fly to YYZ/YUL or SEA (and the other way around) first before even being able to get on a metal to get across the Atlantic.
When you remember that Australia happily turned itself into North Korea over a cold, it makes perfect sense.
This is genuinely clever, agree with Lucky. This is purely a slot play. Smart.
Wow. A typical attitude.
Explain your info? Which foreign airlines owned VA? None. That was never allowed. SQ had a 49% investment in the VS aviation group. VS had a minority investment in VA. VS global makes it's money by licensing the Virgin name.
So you think it best to have QF have a monopoly? That's best for Aussie's?
And you have to pour out your water no matter what airline you fly. QF passengers don't have an exemption. What a stupid comment.
Just idiotic.
I like a laugh, but not by someone making a laugh of him/her self. You are a good senseless joke. Thanks!
Both Singapore (SQ) and Etihad (EY) had stakes in VA up until it went into bankruptcy. They kept under the majority Australian ownership cap
This is probably the dumbest comment I have ever seen.
Firstly - I said "Government Owned Airlines" - if Delta wants to invest in Virgin? Excellent - But Government back airlines - just like with Ansett - not great outcomes as they use it to increase frequencey in the International Space at the expense of the domestic target airline.
Secondly - from the international bar association - https://www.ibanet.org/article/B3831520-A2B6-4449-94A9-6E10A214B446
"one of the major shareholders (Etihad, Singapore Airlines, Nanshan Group Airline, Hainan Airlines, Virgin Group) were willing or able to contribute working capital or equity to reduce its AUD$6.8bn debt, leaving the directors with no choice but to declare insolvency." - that is my data.
Thirdly - 11 years at a loss - purely to attack other Australian Airlines back by Governments
Thirdly - 10 years at a loss - purely to attack other Australian Airlines able to do so because it is backed by Government Airlines - once Bain Capital took over, ended up making a profit.
https://australianaviation.com.au/2023/10/virgin-australia-back-in-the-black-after-11-years-of-losses/
Fourth - Never said Qantas should be a monopoly, you're the only one who mentioned Qantas - my point was that an Aussie airline being once again targeted by a government backed airline is bad.
Fifth - Can take water on domestic flights in Australia - only in the land of the free (and Canada) do you have to do that domestically.
Take your attitude elsewhere.
Um actually in Australia we don't have to pour out our water when flying domestically..... and you need to do some research as Virgin Australia prior to going broke was majority owned by foreign airlines including Etihad, Singapore Airlines, HNA group and Nanshan group.
Don’t forget the UAE has historically had more rights to fly into Australia because up until later this year, both major domestic Australian airlines had deep allowances alliances with Etihad and Emirates. Etihad pumped money into Virgin for years to watch it all go down the drain when VA went bankrupt.
It was indeed just a cold for nearly 100% of the population. Only the very old, the very obese and the very sick had severe outcomes.
It was not worth shutting society down for a single day, let alone for 2 to 3 years as some of the craziest countries did.
History has already proven me right, but go ahead and keep drinking the Koolaid.
P.S. i’m not black, but it’s good to know that you are racist.
Etihad, at the time was led by James Hogan, Borghetti's BFF and both had similar management styles. Hogan's Equity Alliance, which included investments in the likes of Jet Airways, Air Berlin and Virgin Australia were all "epic fails" and Hogan is largely blamed for sending Etihad into restructuring (their equivalent of bankruptcy) with subsequent Etihad CEO's having the job of cleaning up Hogan's mess.
"Qantas has further abused this support by being so Sydney-centric"
Ridiculous. We see a similar concept in everywhere from the UK, to France, to Brazil, to Mexico, to India, and especially Japan. Why should Australia be any different?
Them trying to spread out their international travel, to all but the most significant origin-destination ports of call, or ones that geographically favor a specific gateway due to aircraft range limitations, is a recipe for massive losses.
Maybe its time Emirates buys a stake in Condor for more Germany air rights or Turkish invests in Westjet...heheh
I would love this and was also hoping this was an intended after/side-effect. As a North American/European traveler, I have multiple options to Oz but tend to default to QF just as a matter of schedule. I don't dislike QF as I'm not the typical target demographic under their stranglehold but I have had "meh" experiences similar to the US3. So I get where a lot of my Aussie friends/family are coming from. In the "before times", I had a reservation on VA. But they stopped flights to the US and went bankrupt. And I have always been bummed that I never got to experience it since I really like the Virgin brand. If this comes back, I think I may book a flight just to be able to live that experience. Plus see friends/family in Sydney.
While I agree with a lot of what you say about Qantas, I really think the whole 'Sydney-centric' thing is a tad overblown. Out of Qantas' entire long-haul international network, there are (as far as I'm aware) only 6 non-stop destinations which they only serve from Sydney: Bengaluru, Bangkok, Johannesburg, San Francisco, Santiago and Vancouver. While I accept this does show some level of favouritism for their largest hub, I don't think it's really that egregious given Sydney is Australia's largest city, its largest financial centre, and by far its largest entry point for inbound tourists. It's also worth noting that of these destinations, it still nominally serves Bangkok ex BNE, MEL and PER via Jetstar, codeshares on LATAM's Santiago services ex MEL, and while it doesn't offer nonstop Bengaluru service from elsewhere, it does serve India nonstop from Melbourne through its New Delhi service which it does not operate at all from Sydney.