Northern Pacific Airways: New Alaska-Based Airline

The details of a new American airline were revealed in June 2021. The details of a new airline in the United States were leaked over the weekend. We now know more about the potential design of this airline. If it comes to fruition, this might be the most unusual and creative airline startup in America in a long while (which I am very skeptical about at the moment).Ravn Alaska is a regional air carrierRavn Alaska, a regional airline in Alaska, has partnered with Alaska Airlines in the past to provide service in smaller markets. The airline filed for Chapter 11 bankruptcy in April 2020, just after the coronavirus caused the world to shut down.Ravn Alaska's operations were able to resume in November 2020 thanks to some investors who purchased Ravn Alaska's assets and made the operation a success. The airline appointed a new CEO and is now looking towards the future. They have signed a letter of intent to purchase 50 hybrid-electric aircraft (whether that happens or not is another story).Ravn Alaska electric aircraft rendering (can you please get some windows?Ravn Alaska has a new direction for expansion.Ravn Alaska launches a new long-haul airlineRob McKinney, Ravn Alaska's CEO, has revealed details about Northern Pacific Airways. This new long-haul airline is being developed by Ravn Alaska. Although the airline is still in its early stages of development, here are the details:Ravn Alaska would launch Northern Pacific Airways, a long-haul airline. It would start operations in the summer 2022.A fleet of approximately 10 Boeing 757s would be operated by the airline using a low-cost carrier model.The airport's north terminal, which is currently underutilized, would serve as the base for the airline.The airline would fly to Asia, including Tokyo and Seoul, as well as to the lower 48 (including Las Vegas and Los Angeles, New York and Orlando)This business model can be launched without incurring excessive amounts of debt, according to the authors.This would be in addition to Ravn Alaska's current operations using Dash 8 turboprop aircraft.McKinney explained that we are digging deeply into these numbers to determine the value of the information we can offer the publicNorthern Pacific Airways has potential routesNorthern Pacific Airways will be trying to bring the Icelandair model to the United States. This would mean that it would make a place geographically favorable into a hub. To make it easier for Alaskans to travel to Alaska, the airline will also offer stopover packages. You could choose to stay in Anchorage only for a few nights or connect on Ravn Alaska from another part of the state.A rendering of a Northern Pacific LiveryMy view on Northern Pacific AirwaysThis airline is a dream come true for me as an aviation geek.Anchorage is a great transpacific hub. If I had to launch a fake airline in a game where money is not an object, I would totally launch an Anchorage-based Emirates. (Of course, that's different from this one, which will be a low-cost carrier).Alaska Airlines used to fly to Russia and other countries back in the day. I would love for that service to continue (again, just because I'm an avgeek, and the routemap would be cool).The plus side is that I think Boeing 757s can be purchased for very little. Any airline startup has the enormous advantage of lots of used aircraft available right now.Seasonally, Alaska is a major tourist destination. There's little direct service from Asia or the lower 48.Alaska Airlines used to fly transpacific flights starting from AlaskaDespite that, I still can't believe it.Alaska is a high-season tourist destination. Northern Pacific Airways would need to fill its planes in winter. There is some winter tourism, but not enough to support an airline like this.If you are just connecting, I don't see the value to this business model. Flights from Los Angeles to Seoul and San Francisco to Tokyo are already reasonably priced. So how low can Northern Pacific Airways pricing go to persuade people to accept a poor product and a less convenient route?This is Icelandair Icelandair's key distinction. Icelandair connects many city pairs that can otherwise not be served nonstop (for instance, Denver to Oslo and Seattle to Bergen and Vancouver to Helsinki to name a few). The other markets, with the exception of Orlando-Asia, are well served.This idea would work well for anyone who wants to make a stopover in Alaska or visit Alaska. However, I don't see this as a sustainable business model that can be sustained all year.Bottom lineRavn Alaska, a regional airline, is planning to launch a new airline called Northern Pacific Airways. This airline would fly with Boeing 757s from Anchorage to Asia and the lower 48, following a low-cost business model. Operation are expected to begin in the summer 2022.This concept is a great idea, but I don't see the market for it outside of summer season demand. I'm sure the airline could keep its costs low, but what about outside of summer?What do you think of Northern Pacific Airways'?