DOJ and Biden Want To Prevent the Merger of Jetblue and Spirit Airlines

The rumors that JetBlue wants to buy Spirit Airlines are not news to us. The potential merger of JetBlue and Spirit could significantly alter the airline industry, according to experts. Numerous groups and individuals have been vocally opposed to the JetBlue merger since the airline’s announcement of its plans in July 2022. Some of the critics argue that the merger will lead to higher prices for consumers and threaten the security of many jobs. The Justice Department views the union as unlawful.

As the Biden administration prepares to take antitrust action to halt the impending merger, JetBlue Airways’ ongoing process to acquire Spirit has encountered a new roadblock. This anti-monopoly measure is the latest action taken by the Biden administration, which has also shown a growing interest in regulating air travel.

Some of the sources claimed that the department might sue as early as March, but they advised that the investigation is still underway and that no decision has yet been made. According to some of the interview participants, there is disagreement within the DOJ’s antitrust division over whether or not to bring a case.

If the department moves forward, a lawsuit would be filed at a time of great disruption in the airline industry, such as the fiasco that occurred in December when Southwest Airlines canceled more than 16,000 flights over the Christmas break. Politico reported that consumers and government officials were already angry before this incident, and the airline industry has been under fire for years due to complaints that decades of consolidation have left customers helpless.

It was revealed that JetBlue would be acquiring Spirit in the summer of 2022. According to Travel Noire, the next step required approval from Spirit’s shareholders. Since JetBlue’s Northeast Partnership with American Airlines is currently being litigated, it was widely anticipated that the Department of Justice would intervene on the agreement. In the event that the merger is approved by the relevant authorities, JetBlue will become the fifth largest airline in the United States.

If this goes through, the DOJ says JetBlue will have a virtual monopoly on low-cost airlines. Nonetheless, JetBlue maintains that this would introduce much-needed competition to the industry’s Big Four.

Evie Blanco is a journalist with nearly a decade of experience who was born in the Dominican Republic and raised in Queens, New York. She is extremely well-versed in hip-hop music and culture and is always aware of any developments within it. Whether it’s the latest in pop culture, a fascinating foreign destination, a truly amazing new restaurant, or breaking news, she loves to write about it all.

©2023 The Charlotte Observer. Visit charlotteobserver.com. Distributed by Tribune Content Agency, LLC.