Should we allow United and American to merge?

The United Airlines–American Airlines merger everyone feared may actually be happening.

United Airlines CEO Scott Kirby reportedly met with administration officials at the White House in February to float an audacious proposal: a combination with American Airlines.

Kirby, who has been quietly laying the groundwork for this since late last year, is pitching the deal as a way for a U.S. megacarrier to compete with foreign-flagged airlines on long-haul routes. But those of us who have watched this industry for decades suspect that this is more of a marriage of convenience that prioritizes corporate scale over passenger satisfaction.

(I noted in the last Consumer Alert that some carriers are increasingly likely to face bankruptcy, which might push regulators to be more open to these kinds of deals. I predicted two major airline mergers would hit the headlines this year. I hate it when I’m right.)

The United Airlines–American Airlines merger by the numbers

If this deal goes through, it will create a colossus controlling roughly 40 percent of the U.S. market. It would also combine the two largest sources of passenger friction in the country into one massive, unmanageable entity.

Here is how United Airlines and American Airlines compared on key performance metrics in 2025, including DOT complaint rates:

Late Friday, American Airlines appeared to pour cold water on the merger talk, issuing a statement that it was “not engaged with or interested in any discussions” regarding a merger with United Airlines.

“While changes in the broader airline marketplace may be necessary, a combination with United would be negative for competition and for consumers, and therefore inconsistent with our understanding of the Administration's philosophy toward the industry and principles of antitrust law,” it added.

Don’t believe it for a second. If American’s shareholders can get better deal by playing hard to get, they will. I’ve seen it before.

How to protect yourself before an airline merger

Passengers shouldn’t wait for the first “United-American” livery to appear to protect themselves.

• Don’t consolidate your loyalty programs-yet. While it's tempting to move everything into one basket, keep your options open. Mergers often lead to points devaluations-where your miles suddenly buy much less than they used to.
  
  
• Consider a “third-way” airline. If you live in a hub like Chicago, Dallas, or Los Angeles, start looking at Delta, Southwest or even JetBlue. Competition is the only thing that keeps fares down, and this merger would effectively eliminate it on many routes.
  
  
• Manage your expectations. Would having United in control improve things? While United had a slightly lower complaint rate than American last year (8.55 per 100k complaints vs. 14.12), a lower rate of “bad” is still not “good.” History shows that the massive technical hurdles of merging two reservation systems almost always lead to a spike in lost bags and canceled flights.

Is the American Airlines–United Airlines merger good for passengers?

That brings us to this week’s question.

And a few follow-up questions:

• If you answered yes, why? Do you think a megacarrier is necessary to compete globally? Or do you think United's management could fix American's service issues?
• If you said no, what’s your biggest concern? Is it the inevitable fare hikes, the loss of competition in major hubs, or the technical nightmare of merging two reservation systems?

Share your take on the American Airlines–United Airlines merger

What do you think? Is a United-American merger something that helps the U.S. stay competitive, or is it just a way to squeeze more money out of travelers? Join the discussion.

Elliott Report

This story was originally published April 18, 2026 at 8:30 AM.