Emirates Airlines pushing Airbus for more efficient A380 product

Analyst Saj Ahmad commented: “It's no secret that as the biggest customer, Emirates is pushing for a more efficient A380 product.
 
“With 777X, 787 and A350XWB all sporting highly fuel efficient engines and dramatically lowering seat costs for airlines, Emirates is right to be concerned that its current A380 fleet risks being cast aside as economically irrelevant. But the biggest problem with the A380 and Airbus investing yet more money into this loss-making airplane is that the market for such large airplanes simply as weak as eggshells.
 
“While the A380 is a panacea for Emirates' long haul operations, the leviathan jet is a struggle for other A380 operators to fill and fly. That's why demand for the A380 since its 2000 launch has been desperately weak, propped up only by Emirates commitment to it. Without them, this jet would struggle for any traction, let alone make Airbus any positive cash flow.
 
“General Electric has already pegged its long term large airplane investment in the GE9X engine that powers the fuel efficient 777X, while Rolls Royce would be loathed to invest yet more money in the ageing Trent 900 engine when it has announced recently its long term move to geared fan engines at the turn of the decade - that might just be too late to re-engine the A380 since there are question marks galore about the fragility of the order book when the likes of Qantas, Air France, Virgin and others are deferring orders and no one is expediting them. Pratt and Whitney is dead in the large engine market and has no propulsion unit to offer for the A380.
 
Ahmad added: “It may well be that Tim Clark's desire to see a better performing A380 will come to naught, even if it is re-engined, which in all probability isn't going to happen. Emirates' massive 150-jet order for 777Xs effectively relegates the A380 to the backbench for their long term growth - the 777X family delivers far better fuel economy, better environmental performance coupled with the industries most advanced yet robust engine designs ever conceived.
 
“Airbus would no doubt love to harness new engines for the A380, but without demand aside from Emirates, the costs of re-engining will be several billion dollars; the engine, wings, landing gear, systems - they'd all need major time and money-consuming changes with zero guarantee of a return on investment - the A380 is already a $25bn loss making program that Airbus can ill afford to sink more money into.”