An oversupply of flights in the market has pressured airlines to slash fares this year and temper their growth ambitions. Yet United Airlines continues to expand at a pace well ahead of its major rivals, with CEO Scott Kirby crediting the company’s network strength, technology upgrades, and onboard product enhancements such as Bluetooth connectivity, seat-back entertainment, and an improved mobile app.
Kirby emphasized that 2025 will show how a strong brand can weather turbulence in demand. Earlier in the year, consumer uncertainty, fueled in part by fluctuating tariffs, weighed on ticket sales. Still, he noted that United’s resilience stands out and predicted that fourth-quarter results would highlight the benefits of a recovering economy. United will announce its third-quarter earnings and fourth-quarter outlook in mid-October.
Industry data reflects United’s aggressive growth strategy. Aviation analytics firm Cirium projects United’s domestic capacity will increase by 5.7% in 2025 compared to last year. By contrast, U.S. carriers overall are expanding just under 2%. Delta Air Lines and American Airlines are each growing by about 3%, while Southwest Airlines is set to increase just 1.4%.
Kirby argued that United has distinguished itself by moving away from the mindset of treating air travel as a commodity. Instead, the company has focused on building loyalty through upgraded service and modernized aircraft interiors. At Newark Liberty International Airport, United has been retrofitting its Airbus and Boeing narrow-body aircraft with new cabins since 2021, and Kirby said the airline is now two-thirds of the way toward completing the overhaul.
The focus on product quality and premium service is not unique to United. Airlines across the U.S. have been racing to enhance seating, particularly in the front of the plane, as customers increasingly pay steep premiums for extra space and amenities. Delta’s president Glen Hauenstein recently highlighted that more than half of Delta’s revenue now comes from outside the main cabin, including its loyalty program, and noted that the airline will offer a record number of premium seats in 2025.
Kirby also underscored his skepticism about the ultra-low-cost carrier model in the U.S. He pointed to the struggles of Spirit Airlines, which filed for Chapter 11 bankruptcy protection twice within a year, as evidence that the discount-focused approach is unsustainable. With travelers continuing to prioritize comfort and reliability, United is betting that its strategy of investing in quality will provide a lasting competitive edge.
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