DOT Okays JetBlue and United’s Blue Sky Partnership

Two American airlines, JetBlue and United, both listed on NASDAQ, have announced on Tuesday that they have completed the US Department of Transportation (DOT) review of the ‘Blue Sky’ collaboration and will proceed to its implementation.

Blue Sky is a new and unique collaboration designed to give customers of both airlines even more options to find flights that fit their plans as well as new opportunities to earn and use MileagePlus miles and TrueBlue points across both airlines. Blue Sky will begin introducing new customer benefits starting this fall, rolling out in phases.

JetBlue and United appreciated DOT Secretary Duffy, Assistant Secretary Edwards, and the entire team for their review of Blue Sky. JetBlue and United will share more details in the coming weeks as implementation of the BlueSky collaboration begins.

United’s MileagePlus customers will be able to earn and use miles on most JetBlue flights. JetBlue’s TrueBlue members will be able to earn and use points for flights on United’s extensive domestic and international network.

The partnership will also deliver a smoother booking experience via a traditional interline agreement. Customers will be able to purchase flights across both airlines directly from each carrier’s website and app, simplifying access to their complementary networks.

The benefits of each airline’s loyalty program – priority boarding, complimentary access to preferred and extra legroom seats and same-day standby/switch – will be available when customers travel on the other airline’s aircraft.

JetBlue will provide United access to slots at JFK International Airport for up to seven daily round-trip flights out of JFK Terminal 6 to begin as early as 2027. And, as part of a net-neutral exchange, JetBlue and United will exchange eight flight timings at Newark.

United will move its website and mobile app’s ability to sell hotels, rental cars, cruises and travel insurance, on both a stand-alone and package basis, to new technology and services provided by JetBlue’s Paisly platform.

More Financial Benefits

During the Q2 2025 earnings results, JetBlue President Marty St. George indicated that he expected the partnership to have even more financial benefit than initially planned.

“We believe Blue Sky will enable each airline to offer its customers access to hundreds of new flights and destinations through a traditional interline agreement, with the opportunity to earn and redeem loyalty points and miles across each other’s networks. United has agreed to transition its distribution of non-flight ancillaries such as hotels, rental cars, and more to our travel products subsidiary Paisly – turbocharging Paisly’s high-margin growth,” he said.

“Blue Sky is expected to contribute $50 million more in incremental EBIT than we had initially planned for a partnership – accelerating JetForward. We are recalibrating the total program range and now anticipate $850 to $950 million in EBIT benefit by the end of 2027, up from $800 to $900 million previously,” he added.