Jazmin Li
An airline is a company that provides air transport services for passengers or cargo. Airlines use aircraft to supply these services and may collaborate with other airlines to offer and operate the same flight. Airports, on the other hand, are aerodromes with extended facilities, mainly for commercial air transport. They consist of a landing area, including a runway or helipad, and buildings such as control towers, hangars, and terminals. Aeronautical revenue, non-aeronautical revenue, and non-operating revenue are the three primary sources of airport revenue. Aeronautical revenue is generated through airline rents, landing fees, and passenger services, while non-aeronautical revenue includes sources such as retail, car rentals, and parking.
| Characteristics | Values |
|---|---|
| Definition | An airline is a company that provides air transport services for traveling passengers or freight (cargo) |
| First airline | The German airship company DELAG, founded on November 16, 1909 |
| First French airline | Société des lignes Latécoère, later known as Aéropostale, which started its first service in late 1918 to Spain |
| Oldest continuously operating airline | Dutch airline KLM, which made its first flight in 1920 |
| Oldest non-airship airlines still in existence | Netherlands' KLM (1919), Colombia's Avianca (1919), Australia's Qantas (1920) and the Russian Aeroflot (1923) |
| First German airline to use heavier-than-air aircraft | Deutsche Luft-Reederei, established in 1917 and started operating in February 1919 |
| First airline in Finland | Aero O/Y (now Finnair), established on September 12, 1923 |
| First airline in Japan | Japan Air Transport, established in 1928 as the national flag carrier |
| First airline in India | Tata Airlines, which became a public limited company on July 29, 1946, under the name Air India |
| First airline in the Philippines | Philippine Airlines (PAL), which restarted service on March 15, 1941 |
| First airline to cross the Pacific Ocean | Philippine Airlines (PAL), which on July 31, 1946, became the first Asian airline to cross the Pacific Ocean |
| Airport definition | An aerodrome with extended facilities, mostly for commercial air transport |
| Airport landing area | Comprises an aerially accessible open space including at least one operationally active surface such as a runway or helipad |
| Airport revenue streams | Aeronautical (e.g. airline rents, landing fees, passenger service fees), non-aeronautical (e.g. lease revenue, retail sales, car parking), and non-operating |
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What You'll Learn
Early airlines
The history of aviation is a fascinating one, with the first-ever scheduled commercial airline flight taking place on January 1, 1914. Piloted by Tony Jannus, the flight travelled from St. Petersburg, Florida to Tampa, Florida, with a former mayor of St. Petersburg as its sole passenger. The 23-minute flight passed some 50 feet (15 m) above Tampa Bay in Jannus' Benoist XIV wood and muslin biplane flying boat. The St. Petersburg-Tampa Airboat Line operated for about four months, carrying over 1,200 passengers who paid $5 each.
Early European airlines tended to favour comfort and luxury over speed and efficiency. The cabins were often spacious and ornately embellished, with comfortable wicker chairs and spacious surroundings. However, the basic navigational capabilities of pilots at the time meant that delays due to weather were common. By the early 1920s, smaller airlines were struggling to compete, and there was a shift towards consolidation and rationalization.
One notable early airline was Air Transport and Travel, Ltd., a British group that acquired several Airco D.H.4a VIII single-engine planes. These planes were modified to include a cramped enclosed space in the fuselage for two passengers, while the pilot's cockpit remained open. The company's inaugural flight took place on August 25, 1919, from London to Paris, carrying a single passenger, a newspaper reporter.
Another early airline was the Deutsche Luft-Reederei (D.L.R.), the first German airline to use heavier-than-air aircraft. It began operating in February 1919 and, in its first year, regularly flew scheduled flights on routes with a combined length of nearly 1000 miles. By the end of the 1930s, Aeroflot had become the world's largest airline, employing over 4,000 pilots and 60,000 other service personnel, operating around 3,000 aircraft.
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Airports and aeronautical revenue
Airports are complex operations, with a complicated system of aircraft support services, passenger services, and aircraft control services. Airports have two main revenue streams: aeronautical and non-aeronautical. Aeronautical revenue is generated through airline rents and landing, passenger service, parking, and hangar fees. Landing fees are charged per aircraft and are calculated based on the landing weight and size of the aircraft, with most airports having a fixed rate and an additional charge for extra weight. Aircraft parking is a significant revenue source, with each airport setting its own rates. For example, John F Kennedy airport in New York City charges $45 per hour for a 100,000-pound plane, with prices increasing for heavier aircraft. Aeronautical revenue also includes passenger charges, airline terminal space, and security rentals.
Non-aeronautical revenue is generated through activities and services outside traditional airline operations, including retail, food and beverage, parking, advertising, and rental services within airport premises. Airports have been increasingly focusing on diversifying their non-aeronautical revenue streams to enhance the passenger experience, drive investments, and ensure financial sustainability. One of the primary sources of non-aeronautical revenue is duty-free shopping, which has become a profitable worldwide industry since the first duty-free store opened in 1947 at Shannon Airport in Ireland. Airports can also generate revenue through concessions, such as restaurants and coffee shops, with some airports using this non-aeronautical revenue to finance airport infrastructure. For example, London Stansted Airport financed new terminal infrastructure using revenue from its retail concessions.
The global Airport Non-Aeronautical Revenue market size was estimated at USD 133,542.5 million in 2024, with North America holding the largest market share of over 40%. The market is expected to expand at a compound annual growth rate (CAGR) of 8.90% from 2024 to 2031, with the increasing number of air travellers driving growth. Airports are exploring new avenues of revenue generation, such as partnerships with retailers and brands, to offer a diverse range of products and services and meet the growing demand for enhanced passenger experiences. The rise of digital technologies and the integration of mobile payments and e-commerce platforms are also creating new opportunities for airports to monetise non-aeronautical services.
While non-aeronautical activities are considered alternative sources of income, they account for a significant portion of airports' overall revenue, with some larger airports deriving up to 50% of their revenue from these sources. Airports are regulated by governments to prevent them from abusing their market power, with price-cap regulations in place to control how much airports can charge airlines.
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Airport zoning
Aerodrome Traffic Zone (ATZ):
The ATZ is a controlled airspace that surrounds an airport and typically extends from the surface to a specified upper limit, often 2,000 or 3,000 feet above the ground. It encompasses the airport's runways, taxiways, aprons, and any other areas used for aircraft operations. Within the ATZ, air traffic control services are provided to ensure the safe and orderly movement of aircraft.
Control Zones (CTR):
Control Zones, also known as Controlled Airspace, are designated areas where air traffic control services are mandatory for all aircraft operating within the zone. These zones are established to ensure the safe and efficient flow of air traffic around busy airports or areas with high air traffic density. CTRs are usually Class C or D airspace, with specific rules and requirements for pilot qualifications, aircraft equipment, and communication procedures.
Traffic Pattern or Circuit:
The traffic pattern, also known as the circuit, is the defined path followed by aircraft when taking off or landing at an airport. It consists of four standard legs: the upwind leg, crosswind leg, downwind leg, and base leg. Aircraft join the traffic pattern at a specified entry point and maintain a set altitude and direction to ensure safe spacing between aircraft.
Runway Protection Zones (RPZ):
Runway Protection Zones are critical areas designed to enhance the safety of aircraft operations during take-off and landing. These zones are typically clear of any obstacles that might pose a hazard to aircraft, such as buildings, cranes, or tall trees. RPZs help ensure that in the event of an aircraft veering off the runway, there is a sufficient buffer to minimise the risk of collision or other accidents.
Obstacle Limitation Surfaces (OLS):
OLS are imaginary surfaces created to define the vertical limits within which obstacles must be restricted in the vicinity of an airport. They ensure that obstacles do not penetrate the airspace required for safe aircraft manoeuvring during various phases of flight, including take-off, approach, and landing. OLS consist of several surfaces, such as the Approach Surface, Transitional Surface, Horizontal Surface, and Conical Surface.
In conclusion, airport zoning plays a vital role in ensuring the safe and efficient operation of airports and the protection of aircraft, passengers, and ground personnel. By establishing specific zones and implementing appropriate regulations, airport authorities can effectively manage air traffic, maintain safe distances, and minimise potential hazards associated with aviation activities.
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Airlines and World War II
During World War II, airlines played a crucial role in the war effort, working closely with the military to transport people, cargo, and equipment. The Air Transport Command (ATC) was formed, combining the efforts of the Ferry Command and the Air Service Command. The ATC, with its Ferrying Division and Air Transportation Division, established a vast international route network, delivering aircraft, supplies, and personnel to where they were needed. The first major route, opened in 1942, supplied weapons, ammunition, and other supplies to Allied forces fighting the German Afrika Corps in Brazil, Africa, and the Middle East. From July 1942 to December 1945, the ATC transported 650,000 tons of cargo, losing 549 aircraft and 1,649 crew members in the process. By the end of the war, the ATC's fleet had grown to 3,700 aircraft, with a combined crew of 209,000 military and 104,000 civilian personnel.
In addition to the ATC's efforts, individual airlines contributed to the war effort. For example, TWA transferred its entire fleet of five Boeing 307s, along with their flight crews, to the ATC, and 200 of the nation's 360 airliners were drafted for use in the war, including the Douglas DC-3s. The Women Airforce Service Pilots (WASP) played a significant role in delivering newly built aircraft from factories to training bases and ports, from where they were flown to their destinations, including war zones.
World War II also saw significant advancements in aviation technology and tactics. Aviation established itself as a critical component of modern warfare, with major belligerents investing heavily in air forces and aircraft carriers. The Messerschmitt Bf 109, a German fighter plane, showcased its manoeuvrability and speed, outperforming British types with its fuel-injected engine. The British Hawker Hurricane and Supermarine Spitfire fighters, however, had superior firepower, with eight machine guns compared to the typical four on the Messerschmitt Bf 109. As the war progressed, engine power and aircraft performance improved. The Rolls-Royce Griffon 61 engine, for example, offered 2,035 hp, a significant increase from the 1,000 hp of its predecessor at the start of the war.
The development of jet technology also differed between Germany and Britain. The Germans opted for axial-flow jet technology, which was more efficient but required advanced materials and manufacturing techniques. In contrast, the British chose the simpler centrifugal compressor design, resulting in a shorter and wider engine for the same airflow and output power. Military gliders, such as the British Airspeed Horsa, and specialised tugs, like the German Heinkel He 111Z, were also developed for landing troops and equipment behind enemy lines. Rotorcraft, such as the Avro Rota, and unpowered rotor kites, like the Focke-Achgelis Fa 330, were used for observation platforms.
Overall, World War II saw a significant mobilisation of airlines and aviation technology in support of the war effort, with airlines playing a crucial role in transporting vital cargo and personnel, and aviation advancements driving the development of more powerful and manoeuvrable aircraft.
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Oldest airlines
Several airlines have stood the test of time, operating for decades and adapting to changing technologies and market demands. Here is a list of some of the oldest airlines in the world that are still in operation:
KLM
Founded in October 1919, KLM is the oldest airline in continuous operation under the same name. The airline is the flag carrier of the Netherlands and celebrated its 100th anniversary in 2019. KLM's first scheduled flight was between Amsterdam and London in 1920, and it has since expanded to serve destinations worldwide.
Avianca
Avianca, originally known as SCADTA (Sociedad Colombo-Alemana de Transportes Aéreos), was founded in 1919 and is the oldest continuously operating airline in the Americas. The airline is the national carrier of Colombia and initially operated seaplanes to connect the country's diverse regions due to its challenging topography. Avianca has overcome various economic challenges and maintains its position as one of Latin America's leading carriers.
Delta Air Lines
Delta, founded in 1924, is the oldest airline still operating in the United States. It has grown to become one of the world's largest airlines in terms of scheduled passengers and serves destinations globally. Two significant corporate decisions contributed to its success: the purchase of Pan Am's East Coast and European routes and its merger with Northwest Airlines in 2008.
Qantas
Qantas, known for its distinctive "Flying Kangaroo" logo, was founded in 1920 and is Australia's largest airline. It is one of Australia's most well-known brands globally and has a strong presence in the aviation industry.
British Airways
British Airways celebrated its centenary in 2019, although its history dates back even further. Through its predecessor airlines, British Airways traces its roots to August 1919 and the world's first international scheduled service. The airline has undergone mergers and acquisitions to become one of the leading airlines in the world.
These airlines are remarkable symbols of endurance and innovation, adapting to the dynamic nature of the aviation industry and continuing to serve passengers worldwide.
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Frequently asked questions
An airline is a company that provides air transport services for traveling passengers or freight (cargo). Airlines use aircraft to supply these services and may partner with other airlines to offer and operate the same flight.
The oldest airline in the world is the Dutch airline KLM, which made its first flight in 1920.
The four oldest non-airship airlines that are still in operation are the Netherlands' KLM (1919), Colombia's Avianca (1919), Australia's Qantas (1920), and Russia's Aeroflot (1923).
An airport is an aerodrome with extended facilities, typically for commercial air transport. Airports usually consist of a landing area with at least one runway or helipad, and often include buildings such as control towers, hangars, and terminals.
