A court has recently grounded a proposed merger between two airlines, deemed anticompetitive, which was anticipated to lead to higher prices and fewer choices for consumers. Senator Blumenthal expressed his approval of the court's decision, highlighting the potential negative impact on consumer choice and cost. Representative Haley Stevens echoed this sentiment, noting her previous actions to discourage such consolidations and her satisfaction with Spirit Airlines remaining an independent low-cost competitor. The decision argued that the purchase would raise fares, particularly impacting those who depend on Spirit's budget-friendly options. However, Spirit and JetBlue defended their proposed merger, stating their belief that it would be the best opportunity to increase competition and provide low fares. President Biden also weighed in, framing the ruling as a win for consumers and a reflection of his administration's commitment to enforcing antitrust laws and ensuring competitive capitalism, which promises lower prices and more choices.
Capitalism without competition isn’t capitalism – it’s exploitation. Today’s ruling is a victory for consumers everywhere who want lower prices and more choices. My Administration will continue to fight to protect consumers and enforce our antitrust laws. https://t.co/NMj6tJhwMd
Spirit and JetBlue said in a statement: "We continue to believe that our combination is the best opportunity to increase much needed competition and choice by bringing low fares." https://t.co/l7sLb3VKaz
The decision argued that the purchase would raise fares for those who rely on Spirit's budget prices. https://t.co/3KgzgPcLZ4
Consolidating airlines eliminates low-cost flights and reduces competition. That’s why I wrote a letter urging @TheJusticeDept to prevent future mergers among US airlines. I’m pleased Spirit remains an affordable rival to other airlines. https://t.co/tA8XelzeoD
Glad to see the court grounding this deal. The proposed anticompetitive merger would have resulted in consumers having less choices & higher prices. https://t.co/TY9ibfpqTb