Fewer Flights, Higher Fares — Is This America’s New Normal?

Bosses of two major U.S. airlines have given stark warnings about the future of air travel in the United States in recent weeks, suggesting that poor demand could lead to fewer flights and higher fares.

During his company’s second-quarter earnings call last week, Frontier Airlines CEO Barry Biffle reiterated comments made by United Airlines CEO Scott Kirby. Biffle noted that many airlines in the U.S. may have to reduce their flight schedules due to unprofitability, potentially leading to fewer travel options and higher prices for consumers.

Oversupply and Weak Domestic Demand

According to Biffle, the supply of flights in the U.S. exceeds demand, meaning that many domestic routes are no longer economically viable for the majority of carriers in the country. Frontier reportedly made $929 million in profit during the second financial quarter of 2025, although the company made a net loss of $70 million.

Photo: Frontier Airlines. Courtesy of David Syphers / Unsplash

“I’m talking about domestic fares in the domestic marketplace, we believe that the entire industry is not making money,” said Biffle during the carrier’s Q2 earnings call on Tuesday, August 5.

“You can’t – if you take out your code share, take out your international flow, all that, the domestic is not making money. And that’s because there is too much supply relative to demand.

“And unless you see a meaningful jump in demand, there’s going to continue to be reductions in capacity in this industry.”

United Echoes Concerns

Frontier’s CEO made these comments just weeks after United’s CEO issued a similar warning. During his company’s earnings call last month, United CEO Scott Kirby mentioned that all domestic competitors, except for Delta Air Lines, are facing financial difficulties due to weak demand in an oversaturated market.

He suggested that this situation may eventually result in the cutting of routes.

Photo: Courtesy of Denver International Airport

“If I dig deeper into it and I look at every airline that’s not named United or Delta, I can find at every single one of them, a double-digit percentage of their route network that loses money,” said Kirby in July.

“And the only way for them to get margins that are anywhere close to their WAC is to stop flying places that lose money. And that is going to ultimately happen.”

Not All Airlines Share the Same Outlook

While United and Frontier have made similar warnings, not all carriers share their pessimism. Robert Isom, CEO of American Airlines, responded to Kirby’s comments during American’s second-quarter earnings call, stating his belief that demand for air travel, especially for international flights, will increase.

Photo: Courtesy of Austin-Bergstrom International Airport

Meanwhile, Delta CEO Ed Bastian has suggested that one reason for the recent decline in demand for air travel is the string of high-profile crashes and safety incidents that have made the headlines in recent months.

“We saw a pretty immediate stall in both corporate travel and bookings,” said Bastian in March. “Consumer confidence and certainty in air travel started to wane a little bit as questions of safety came in.”