Look, I hate to be like “oh, he’s a hypocrite,” because on some level, we’re all hypocrites. I don’t think anyone is 100% consistent in their logic, and that’s part of being human. But my goodness, this is some next level mental gymnastics, if you ask me, as flagged by View from the Wing…
Delta CEO Ed Bastian struggles to defend Riyadh flights
In 2026, Delta Air Lines plans to launch flights between Atlanta (ATL) and Riyadh (RUH). This is part of a new partnership with Riyadh Air, the ambitious Saudi Arabian airline startup that’s owned by the country’s Public Investment Fund (PIF). It’s also worth noting that Delta is receiving significant subsidies from the Saudi Arabian government for launching this route, as all international airlines adding flights to Riyadh are receiving.
Going back a decade, there was a massive battle between the “big three” US carriers (American, Delta, and United) and the “big three” Gulf carriers (Emirates, Etihad, and Qatar). The argument was that those airlines were illegally subsidized by their governments, and needed to be stopped, since government subsidized airlines aren’t on a “level playing field.” You can see one of the US propaganda videos from that time below (featuring extensive commentary from Delta CEO Ed Bastian).
Okay, admittedly US carriers have in the meantime evolved, with American having a partnership with Qatar and Etihad, and United having a partnership with Emirates. Great, now Delta is partnering with Riyadh Air. I wouldn’t take issue with this, except for how Delta CEO Ed Bastian is framing this.
In an interview with CNN’s Richard Quest, Bastian was asked about the airline adding flights to Saudi Arabia. The narrative he tells is just wild. He not only reverses course on his feeling about government subsidized Gulf carriers (fair enough), but he manages to justify Delta’s partnership with Riyadh Air while still putting down other government subsidized Gulf carriers. Let’s take a look at his comments.
Bastian claimed that the primary purpose of these flights is to bring US consumers, businesses, and leisure travelers, to Riyadh. Okay, fair enough. Bastian describes being able to fly to Riyadh as an “amazing, amazing opportunity.” Yes, it is an amazing opportunity to fly when someone else is footing the bill, I agree! He then goes on and says the following:
“You know, we’ve been vocal over time about the subsidies and the lack of a level playing field here among the Middle Eastern carriers, the Emirates, the guys in Doha, as well as in Abu Dhabi. And we were never even contemplating partnerships with those three airlines, because they don’t have a local market.”
“They basically exist to take traffic between two other home markets, neither of which are theirs, and we didn’t want to have someone else live off our hard earned territory and the work that we’ve done.”
Bastian goes on to explain that Riyadh is a much bigger local market than Dubai, and has four times the GDP, and he sees a lot of long term aspirations. Quest pushes back, saying how it might initially appear hypocritical for Delta to get “in bed” with a Gulf carrier after the criticism over them being government owned and subsidized. Bastian then partly defends the company’s position by claiming that… he thinks that Riyadh Air could eventually be very profitable, and therefore it’s okay to be government owned and subsidized? As he explains:
“I know the team at Riyadh Air is destined to prove their own weight. Obviously with PIF starting them, they’re going to require considerable amount of startup investment. I think that model can be very successful and very profitable for PIF.”
This is such a disingenuous narrative on Gulf carriers
Let me very clear here — I don’t take issue with Delta flying to Riyadh, or partnering with Riyadh Air. There are also a lot of super smart folks running Riyadh Air, so this isn’t a knock on what they’re doing.
What I take issue with is Bastian getting on his high horse and claiming that Delta wouldn’t even dare consider partnering with an airline like Emirates, because they’re syphoning demand from other markets.
Bastian is right that Saudi Arabia is a larger country than the UAE, and has a larger economy. That being said, he struggles to keep his narrative straight:
- He argues that the Delta flight is primarily intended for Americans looking to visit Saudi Arabia, while dismissing what the other Gulf carriers do; yet more Americans visited the UAE last year than visited Saudi Arabia
- He has issues with subsidies, but he convinces himself that the airline will be “very profitable” for the PIF in the long run… just as Emirates is for the government of Dubai (remember, Emirates is the world’s most profitable airline, beating out Delta!)
If Bastian just said “our position has evolved and times have changed,” I’d say that would be totally fair. But instead, his narrative is basically “we’re the ones doing the ethical thing, and we wouldn’t even dare consider partnering with one of those other evil Gulf carriers.”
Bottom line
Delta is launching flights to Riyadh, which is fair enough, despite Delta’s management for years warning about the risks of government subsidized Gulf carriers. I’m all for airline executives evolving their perspectives, but what’s wild is the extent to which Bastian is basically doubling down on Delta’s previous position, attacking other Gulf carriers, while justifying the Riyadh Air partnership.
What do you make of Bastian’s comments on flying to Riyadh?
