FLUG REVUE June 2005: Airbus versus Boeing benefits progress

June 2005

THE COMPETITION BETWEEN AIRBUS AND BOEING IS GOOD FOR PROGRESS

By Volker K. Thomalla

With the maiden flight of the Airbus A380 in Toulouse, Airbus has brought off a project which, on account of the expected technological difficulties, sceptics had predicted would not be feasible to either implement or finance. Similar scepticism has been expressed before virtually every major new project in the aerospace industry. Only in a few exceptional cases have the sceptics proved right. For example, this was the case with the VFW 614 regional jet of the early 70s. The aircraft was supposed to open up a new market segment and failed after only a few units had been sold.

Competition is the driving force that induces people and companies to push back the boundaries of what is feasible and drive progress forward. Without Boeing's supremacy in the jumbo segment, Airbus would probably never have tackled the A380. The pressure to counter Boeing with something better than the tried and tested 747 was enormous and motivated Airbus to take on the huge technological and financial risk.

This is equally true of Boeing. After the flop with the Sonic Cruiser, which was supposed to fly just below the speed of sound but would consume the same amount of fuel as present aircraft, the long-established aircraft manufacturer was forced to launch something on the market that the airlines actually wanted. Boeing sent its engineers back to the drawing board and, in the Boeing 787, it started development of an aircraft in the market segment in which Airbus was already well placed with the A330. But according to Boeing, the 787 performs better and is more economic to operate. Without the Airbus successes in the twin-jet 200-300 seat segment, the 787 would not exist today. Both projects, A380 and 787, are characterised by high technical risk. In the case of the Airbus A380 it has been necessary to master new dimensions in commercial aircraft construction, while on the 787 Boeing is venturing into new territory, with the wholesale use of CFRP in primary structures and engines without bleed air (more electric aircraft).

The competition will be extremely fierce since orders worth billions are at issue. Neither party is putting on kid gloves. But it is precisely this aggressive competition that always brings new advantages to the airlines and their passengers and freight customers: the aircraft are getting quieter, they consume less fuel, they are more comfortable, they can fly further and are cheaper or simpler to maintain and overhaul.

Without competition and the mutual goading of the competition on to ever new heights, technology would progress a lot slower, if at all.

Until recently, Airbus was ahead as regards sales to the low-cost airlines, following decisions in its favour by easyJet, Air Asia and Air Berlin. Now Boeing has snapped up some attractive firm orders from Air Canada and Korean Air and the 787 orderbook is looking increasingly healthy – another major order for the 787 by Northwest Airlines is apparently being negotiated at the moment.

“Airbus versus Boeing” remains a subject full of suspense, in which the customers are the winners. The only loser is the manufacturer which thinks it can rest on its laurels.

From page 4 of FLUG REVUE 6/2005

Last updated 13 May 2005

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