We first heard about Norse Atlantic Airways in the spring 2021. It is a Norwegian low-cost long haul airline startup. The company revealed a lot more information today, including a revised launch date and a new look.Let's start with the basics and the most recent updates.Basics of Norse Atlantic AirwaysNorse Atlantic Airways, a transatlantic airline startup, plans to start operations in 2022.Bjorn Kljos and Bjrn Kise founded the airline. They also own a majority. These industry veterans previously held top positions at OSM Aviation and Norwegian Air Shuttle.The airline will use Boeing 787s for transatlantic flightsThe airline will operate in Europe from cities such as London, Oslo, Paris and London. In the United States, it will operate from cities like Los Angeles and Miami.The airline plans to start operations in spring 2022, specifically at the end of the first or beginning of second quarters, when it is hoped that transatlantic travel demand has recovered.The exact routes are not yet known, but details should be expected three months before launch (so likely in late 2021 or early-2022).Bjrn Torre Larsen, CEO, describes the company's plans:As the world slowly reopens, we strongly believe there is a demand for an innovative airline that serves the low-cost intercontinental markets with modern, fuel-efficient and more environmentally-friendly aircraft. We are on track. Operations will begin when travel restrictions are lifted, and there is a demand for transatlantic travel. We expect all 15 Dreamliners to fly customers between Europe and America next summer based on current conditions. Our ticket sales will be launched approximately three months before the first flight. We will also offer attractive destinations.Norse Atlantic Airways will fly ex-Norwegian 787sNorse Atlantic Airways will fly 15 Boeing 777sNorse Atlantic Airways signed 15 lease agreements for 15 Boeing 787s. All of these aircraft used to fly for Norwegian.The airline leases nine Boeing 787s with AerCap and six Boeing 787s with BOC Aviation.Twelve of the planes are 787-9s and three are 787-8s.These planes come with extremely long lease terms of up to 16 year. The airline stated that the planes were leased at attractive rates and terms. This allows the airline flexibility during the start-up phase.Given that 787s are the most economical option, I imagine they will maintain the same interiors as the Norwegian 787s. This is good news for consumers.Norwegians 787s offered a premium economy product with recliner seats in a 2-2-2 configuration. The Norwegian premium economy was a great value.Norwegian 787 premium economy cabinThe Norwegian economy was operating in a 3-3-2-3 model. Although not the largest, personal entertainment, mood lighting and internet were all excellent options for ultra-low cost carriers (Norse Atlantic plans Wi-Fi much like Norwegian).Norwegian 787 economy cabinNorse Atlantic Airways highlights the 787's features, but there aren't many surprises.Norse Atlantic Airways 787 amenitiesNorse Atlantic Airways branding & liveryToday, Norse Atlantic Airways revealed its brand's livery and the basic elements. The logo was created by a small team in-house and a local agency. The idea behind the brand can be described as follows:Norse Atlantic Airways is inspired by the Norsemen, who explored the globe with their state of the art longships. They offer affordable flights onboard modern, more environmentally-friendly Boeing 787 Dreamliners.Although the livery may not be the most original, it is generally very sharp.Norse Boeing 787 liveryNorse Atlantic Airways' labor plansInitial concerns were raised about whether Norse Atlantic Airways would be allowed to fly these types of flights by American regulators. Peter DeFazio (the Chairman of the House Transportation and Infrastructure Committee) urged Pete Buttigieg, Transportation Secretary, to stop Norse Atlantic Airways flying to the United States.The outgoing administration issued a foreign airline carrier permit to Norwegian Air International at the end of 2016. This was an airline that was Norwegian by name and had established itself in Ireland under a flag to bypass Norway's labor protections. Norwegian is insolvent and has stopped U.S. service. However, its founder is creating a new carrier and will likely apply for a permitNorse Atlantic. It is important that you rectify the 2016 error and deny this airline's application.This shouldn't be a problem for the airline thanks to some things that were revealed since then.Norse Atlantic Airways expects to employ around 1,600 people by 2022. All employees will be permanently employed and direct by the airline.Norse Atlantic Airways reached a union agreement before hiring its first flight attendant. This clearly aims to address this potential problem.Why I am skeptical about Norse Atlantic AirwaysLet me begin by saying that Norse Atlantic Airways is a fantastic airline for consumers. It will be just like Norwegian. Despite that, I don't see how this business model can make sense.It was announced at the beginning of 2021 that Norwegian would cease long-haul flights as it was under bankruptcy protection. Norwegian struggled for years, even before the pandemic. It has now lived nine years.Norse Atlantic Airways' intentions are clear. Investors (including a former Norwegian executive), are looking to replace Norwegian when it comes long haul. Only one problem: Low cost long-haul airlines rarely work. History has proven this.To give credit to the idea, or perhaps to express hope, here's a link:Consumers would love to have an airline like Norse Atlantic Airways. It will help keep legacy airlines in line and keep fares low.It's not difficult to launch this airline, as we should see transatlantic travel rebounding by next year. The airline got a good deal on planes so I expect costs will be quite low.One of the biggest problems with transatlantic low-cost carriers is the seasonal traffic. Norwegian was making money in summer but losing significant amounts the rest of the year. Is there any way Norse Atlantic Airways can learn from Norwegian's mistakes and do a better job using a counter seasonal route network? (though this concept is not without its challenges).This will be a fascinating one to follow. It is clear that Norse Atlantic Airways will only operate between Europe, the United States and Canada. This market in winter is not easy, especially for business travelers.Norse Atlantic Airways has Norwegian 2.0Bottom lineNorse Atlantic Airways, a new low-cost long-haul airline startup, is now open. Norwegian's long-haul network is being reestablished by Norse Atlantic Airways. The airline will use a low-cost business model to fly ex-Norwegian 787s across the Atlantic. The airline has secured 15 lease agreements and will begin operations in spring 2022.At this stage, it seems quite certain that the airline will launch operations. It is not clear how long the operation will last or what its capabilities will be different from Norwegian.What do you think of Norse Atlantic Airways'?
