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Travel Technology Research Ltd is one of the leading analysts of the market for airline IT services.  Documents in this section represent our insight into the underlying trends and expectations behind the data.  They are available for subscribers to download but remain proprietary to T2RL.  You may not publish or circulate any part of these documents without express written permission from T2RL. 

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Amadeus have completed the first phase of their migration to reservations, inventory and ticketing (RIT) for Kuwait Airways. Departure control rolls out on a station by station basis until migration is concluded completely in Q3, 2017.
21 May 2017

The last few days has seen Amadeus and Southwest conclude the migration from the Sabre hosted and run SAAS system with Sabre e-ticketing. Amadeus has delivered a platform that supports industry standard capabilities including codeshare, interline, interactive GDS distribution and even more sophisticated inventory management. Southwest are no longer constrained by technology in their business development. T2RL expect Southwest to evolve their market offerings based on these new capabilities. The data migration strategy was simple based on a drain down of bookings from their existing solution and a slow and steady growth of volume inside the Amadeus platform. This approach reduced the risks associated with a big-bang migration and allowed any performance issues to be identified and fixed as they appeared. This approach is obviously reserved for those that can control their existing environment. Future migrations will incur significant switching costs, so despite a long-term agreement Southwest are likely to remain hosted by Amadeus for many years to come. Ultimately Amadeus is now supporting Southwest as they compete for online bookings with those such as Expedia. T2RL's research suggests that Amadeus have increased their share of Expedia's bookings and will continue to do so. Either way Amadeus now has a significant share of the total passengers bookings in North America. Eventually this could make their GDS more attractive to agents should Southwest make a decision to adjust their strategy. Amadeus' GDS adjacency to the Southwest inventory in the PSS will put them in a strong position to deliver personalised solutions via the Amadeus GDS.
09 May 2017

IBS have announced the successful migration of Sun Express onto their PSS and IBE system, iFly Res. The migration took just over a year with IBS taking advantage to enhance their capabilities in fare management, interlining, their internet booking engine and introducing an agent portal. Built on modern architecture, iFly res is also the only PSS to have NDC embedded in it's core and IBS are one of the few vendors with the most certified NDC messages. T2RL are continuing to monitor the progress of NDC to highlight the actual benefits to an airline.
27 April 2017

Sabre have appointed Dave Shirk to lead the airline IT unit to replace Hugh Jones. Sabre have selected an executive with technology product management expertise rather than an airline industry executive. Dave arrives at a time when Sean Menke's team have some significant challenges ahead. They have to deliver a competitive product portfolio in the commercial systems segment against a competitor that has significant advantages in technology, economies of scale and service presence. T2RL's research suggests that price competition will intensify in the coming years as the PSS/GDS system providers seek to win the inventory system that prevents longer term disintermediation in the GDS business and locks in the industry marketing architecture of class, fares via ATPCO or other standards and schedules.
27 April 2017

Farelogix announced their intention to provide pricing and shopping functionality in November 2016. Westjet is their pricing and shopping launch customer. Farelogix have been successful in expanding their footprint inside WestJet. The announcement suggests that Farelogix's value proposition is tied to a reduction in costs associated with support for significant look to book ratios driven by system to system connectivity and robotics.
06 April 2017

Gulf Air announced this week that they have resigned with the SabreSonic passenger services system. The carrier, which carries approximately 6 million passengers boarded per year has also signed up to Sabre's passenger re-accommodation tool, mobile concierge services, ancillary inventory and revenue integrity services.
09 February 2017

As we predicted in our report on the Market for Airline Passenger Services Systems 2016, Warburg Pincus and Mercator have continued to invest in companies within the travel sector. Last year saw the successful purchase of revenue management provider, RMS Inc. and now with revenue accounting specialist, Accelya. The combined share for Mercator and Accelya in revenue accounting will be close to 20% as measured by airline passengers boarded.
07 February 2017

Navitaire to complement Ryanair's labs and not be replaced by in-house developments until at least 2025. Navitaire's largest customer by passengers boarded at 117 million for the 12 months to 2016 have extended their existing agreement to 2025 with Amadeus' Navitaire. T2RL believe that Dave Evans, Navitaire's CEO and Amadeus' John Dabkowski would have been very keen to ensure this business renews given the rumours that Ryanair had ambitions to go it alone, much like Emirates. T2RL believe that Ryanair would account for no more than 15M USD in annual revenues however for the 12 months to 2016. In a March 2016 interview, Ryanair's CTO John Hurley claimed there were some 250 people working on technology projects, mobile and web with staff spread across locations in Dublin, Poland and Spain. T2RL believe this would give Ryanair a total spend on IT services well below 1% of annual revenues maintaining their efficiency and competitive cost base.
04 January 2017

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On November 3, 2016, Amadeus and Optym jointly issued a press release announcing that the two firms have formed a partnership for the purpose of creating a new generation of airline network planning and flight scheduling tools. The two firms will jointly offer a suite of five schedule planning tools covering (1) schedule optimisation, (2) schedule reliability, (3) market forecasting, (4) schedule management, and (5) route frequency optimisation. Product branding will include both companies’ names.
08 November 2016

IBS PLC will supply Lufthansa and Turkish Airline's joint venture SunExpress with their PSS, replacing Hitit. T2RL see the deal as significant for a number of reasons other than the market volume of passengers boarded processed.
22 January 2016

T2RL have updated market shares and business model data. T2RL believe Hitit and Radixx will be attractive to larger providers wishing to grow their business in the fastest growing segments of the PSS market.
26 November 2015

Amadeus' bid for Accenture's Navitaire has the potential to change the PSS market structure for some time. Most customers are unlikely to oppose the deal, but a few commercially savvy airlines will seek to lower cost and improve terms from the acquisition. The deal presents some regulatory risk specifically in Europe, although Amadeus will have undoubtedly taken advice that the markets are quite different.
02 July 2015

In response to Lufthansa's announcement with respect to passing on charges in the GDS channel from 1 September 2015, T2RL have developed a First View perspective and insight for clients.
03 June 2015

LATAM announced their decision to select Sabre as their single PSS platform on 05 May 2015. This is a big deal for Sabre as it secures their inventory footprint in Latin America with the largest regional carrier. Securing inventory is a critical piece of the puzzle for any PSS/GDS supplier and Sabre will be the dominant PSS provider in the region following cutover to Sabre. Combined with COPA's recent win, Sabre now have a solid, long term IT platform in Latin America. Execution will be challenging, however the current economic climate provides urgency to get this work done.
08 May 2015

T2RL consider the Flydubai / Radixx news and agreement as important for airline buyers of PSS. The source code licence option is unusual for such a small carrier. The last major source code deal was Delta Airlines with Travelport. The deal is therefore worth commentary from T2RL's analyst community.
20 April 2015

T2RL's research team met in Whistler, Canada from 13th. to 17th. April 2015 to define the key issues facing airline distribution executives for the coming year. The GDS' are thriving and like any business they continue to exert pricing power when they have the opportunity to do so. LCC's are participating in the traditional distribution architectures and are well placed to take advantage of the infrastructure developed and tuned by the traditional carriers and their vendors. Market dynamics are challenging with market concentration and consumers access to technology.
19 April 2015

Full reports are available for subscribers to download. Feel free to download the extracts which give an introduction and contents table of the full report.

T2RL and partners Travel in Motion (TiM) have produced a report on the current status of IATA's new distribution capability (NDC) including details of pilot projects, vendors and solutions. The report will be updated on a quarterly basis with the next update planned in July 2017.
10 May 2017

T2RL and partners Travel in Motion (TiM) have produced a report on the current status of IATA's new distribution capability (NDC) including details of pilot projects, vendors and solutions. The report will be updated on a quarterly basis with the next update planned in April 2017.
27 January 2017

The 2016 version of the T2RL annual report into the state of the market for airline Passenger Services Systems. It covers all of the main activity in 2015 and H1 2016.
28 October 2016

T2RL and partners Travel in Motion (TiM) have produced a report on the current status of IATA's new distribution capability (NDC) including details of pilot projects, vendors and solutions. The report will be updated on a quarterly basis with the next update planned in January 2017.
05 October 2016

The ability to turn aircraft quickly is a key attribute for airline success. Every airline needs processes for offloading arriving passengers and their baggage, provisioning the aircraft for its next departure, on-boarding the departing passengers and their baggage, and departing on time. Faster is better, because shorter ground times translate to higher aircraft utilisation and lower costs per flight long-term.
01 September 2016

In spite of significant general improvement in dispatch reliability with each new generation of aircraft, delays and cancellations due to mechanical problems will continue to be a thorn in the side of the airline industry for the foreseeable future. Though expensive, spare aircraft are a major part of the solution, where the availability of a backup airplane can turn a major aircraft system failure into a non-event.
01 September 2016

Since 2009, T2RL have been publishing an annual report on the market for Airline Passenger Service Systems. This report is the first of what will be an annual series representing a similar analysis on the market for Airline Operations systems. We will look at what capabilities already exist, the new capabilities airlines are demanding, and what software providers are developing. We will analyse current activities and assess where the market is going. By highlighting current activities and trends, we hope to add some value and provide some transparency to the marketplace. It is our hope that, as a result of this report, airlines searching for systems and vendors searching for customers will find it an easier task.
21 June 2016

An Agility Platform is an integration and application development environment where all airline data needed for operational reasons is housed in a central place and these data are used to perform key operational tasks needed by the airline. This document introduces a technology- and vendor-agnostic reference architecture or blueprint for enterprise integration within an airline.
08 June 2016

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