- Competition between Airbus and Boeing
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Competition between Airbus and Boeing is a result of both companies' domination of the large jet airliner market since the 1990s, a consequence of mergers within the global aerospace industry over the years. Airbus began as a consortium from Europe, whereas the American Boeing took over its former arch-rival, McDonnell Douglas, in 1997. Other manufacturers, such as Lockheed Martin and Convair in the United States and Dornier and Fokker in Europe, have pulled out of the civil aviation market after economic problems and dropping sales figures. The collapse of the Eastern Bloc and its trade organisation Comecon in the 1990s has put the former Soviet aircraft industry in a disadvantaged position, although Antonov, Ilyushin, Sukhoi, Tupolev and Yakovlev still develop new aircraft and have a small market share. This has left Boeing and Airbus in a near-duopoly in the global market for large commercial jets comprising narrow-body aircraft, wide-body aircraft and jumbo jets. However, Embraer has gained market share with their narrow-body aircraft in the Embraer E-jets series. There is also a similar competition in regional jet manufacturing between Bombardier Aerospace and Embraer.
In the last 10 years (2001–2010), Airbus has received 6,506 orders while delivering 4,009, Boeing won 5,869 orders while delivering 3,921. Airbus had higher deliveries since 2003. Competition is intense; each company regularly accuses the other of receiving unfair state aid from their respective governments.
Competition by product
Range overlap
Though both manufacturers have a broad product range varying from single-aisle to wide-body, they do not always compete head-to-head. As listed below they respond with slightly different models.
- The Airbus A380, for example, is substantially larger than the Boeing 747.
- The Airbus A350 competes with the high end of the Boeing 787 Dreamliner and the Boeing 777.
- The Airbus A320 is larger than the Boeing 737-700 but smaller than the 737-800.
- The Airbus A321 is larger than the Boeing 737-900 but smaller than the previous Boeing 757-200.
- The Airbus A330-200 competes with the smaller Boeing 767-300ER.
Airlines benefit from this competition as they get an array of diversified products ranging from 100-500 seats, than if both companies offered identical aircraft.
Passengers/range km (statute miles) for all models
2,645 to 3,185 km (2400 sm) 5,600 to 5,900 km (3500 sm) 6,800 to 7,700 km (4500 sm) 9,000 to 10,200 km (5900 sm) 10,500 to 11,300 km (6800 sm) 12,250 to 12,500 km (7700 sm) 13,300 to 13,900 km (8500 sm) 14,200 to 14,800 km (9000 sm) 14,900 to 15,200 km (9300 sm) 15,400 to 16,000 km (9800 sm) 16,700 to 17,400 km (10500 sm) 100-139 (717-200) A318-100 737-600 140-156 737-700 A319-100 737-700ER 148-189 737-800 A320-200 177-255 A321-200 737-900 (757-200) (A310-200) (A310-300) 767-300ER 767-200ER 787-8 243-375 (757-300) 767-400ER 747SP 253-300 (A300) (A300-600) A330-200 A340-200 A350-800 787-9 295-440 777-200 A330-300 A340-300 777-200ER A350-900 777-200LR 313-366 A340-500 A340-500HGW A350-900R 358-550 747-100SR 747-300SR 747-100 777-300 747-200 777-300ER A350-1000 380-419 A340-600 A340-600HGW 410-568 747-400 747-400ER <467 747-8 525-853 A380 Airbus A320 vs Boeing 737
Airbus A320 family Boeing 737 A318 A319 A320 A321 737-300 737-400 737-500 737-600 737-700 737–800 737-900ER Two Cockpit crew Two 117 (1-class) 142 (1-class) 180 (1-class) 220 (1-class) Seating capacity 148 (1-class) 168 (1-class) 132 (1-class) 149 (1-class) 189 (1-class) 204 (1-class) 31.45 m (103 ft 2 in) 33.84 m (111 ft) 37.57 m (123 ft) 44.51 m (146 ft) Length 28.6 m (94 ft) 36.5 m (119 ft 6 in) 31.1 m (101 ft 8 in) 31.2 m (102 ft 6 in) 33.6 m (110 ft 4 in) 39.5 m (129 ft 6 in) 42.1 m (138 ft 2 in) 12.56 m (41 ft 2 in) 11.76 m (38 ft 7 in) Height 11.3 m (37 ft) 11.1 m (36 ft 5 in) 12.6 m (41 ft 3 in) 12.5 m (41 ft 2 in) 34.1 m (111 ft 10 in) Wingspan 28.3 m (93 ft) 28.9 m (94 ft 8 in) 34.3 m (112 ft 7 in) 25° Wing Sweepback 25° 25.02° Aspect Ratio 8.83 9.16 9.45 3.70 m (12 ft 1 in) Cabin Width 3.54 m (11 ft 7 in) Cabin Height 2.20 m (7 ft 3 in) 3.95 m (13 ft) Fuselage Width 3.76 m (12 ft 4 in) Fuselage Height 4.11 m (13' 6") 39,300 kg 40,600 kg 42,400 kg 48,200 kg Typical empty weight 28,120 kg (61,864 lb) 33,200 kg (73,040 lb) 31,300 kg (68,860 lb) 36,378 kg (80,031 lb) 38,147 kg (84,100 lb) 41,413 kg (91,108 lb) 44,676 kg (98,495 lb) 68,000 kg (149,900 lb) 75,500 kg (166,500 lb) 77,000 kg (169,000 lb) 93,500 kg (206,100 lb) Maximum take-off weight 49,190 kg (108,218 lb) 68,050 kg (149,710 lb) 60,550 kg (133,210 lb) 66,000 kg (145,500 lb) 70,080 kg (154,500 lb) 79,010 kg (174,200 lb) 85,130 kg (187,700 lb) Maximum landing weight 44,906 kg (99,000 lb) 56,246 kg (124,000 lb) 49,895 kg (110,000 lb) 55,112 kg (121,500 lb) 58,604 kg (128,928 lb) 66,361 kg (146,300 lb) Maximum zero-fuel weight 40,824 kg (90,000 lb) 53,070 kg (117,000 lb) 46,720 kg (103,000 lb) 51,936 kg (114,500 lb) 55,202 kg (121,700 lb) 62,732 kg (138,300 lb) Cargo Capacity 18.4 m³ (650 ft³) 38.9 m³ (1,373 ft³) 23.3 m³ (822 ft³) 21.4 m³ (756 ft³) 27.3 m³ (966 ft³) 45.1 m³ (1,591 ft³) 52.5 m³ (1,852 ft³) 1,355 m
(4,446 ft)1,950 m
(6,398 ft)2,090 m
(6,857 ft)2,180 m
(7,152 ft)Takeoff run at MTOW 1,990 m (6,646 ft) 2,540 m (8,483 ft) 2,470 m (8,249 ft) 2,400 m (8,016 ft) 2,480 m (8,283 ft) 2,450 m (8,181 ft) .78 Mach Cruising speed .74 Mach .74 Mach .785 Mach .78 Mach .82 Mach Max. speed .82 Mach 5,950 km
(3,200 nm)6,800 km
(3,700 nm)5,700 km
(3,078 nm)5,600 km
(3,050 nm)Range fully loaded 3,440 km
(1,860 nm)4,005 km
(2,165 nm)4,444 km
(2,402 nm)5,648 km
(3,050 nm)6,230 km
(3,365 nm) (5,510 nm on ER variants.)5,665 km
(3,060 nm)4,996 km
(2,700 nm) [5,925 km (3,200 nm ) 2-class layout w/2 aux. tanks]23,860 L
6,300 US gal29,840 L
7,885 US gal29,680 L
7,842 US galMax. fuel capacity 17,860 L
4,725 US gal23,170 L
6,130 US gal23,800 L
6,296 US gal26,020 L
6,875 US gal29,660 L
7,837 US gal39,000 ft Service Ceiling 35,000 ft 37,000 ft 41,000 ft PW6022A, CFM56-5 IAE V2500, CFM56-5 Engines (x2) CFM56-3B-1 CFM56-3B-2 CFM56-3B-1 CFM56-7B20 CFM56-7B26 CFM56-7B27 CFM56-7 Max Thrust 20,000 lbf 22,000 lbf 20,000 lbf 20,600 lbf 26,300 lbf 27,300 lbf Engine Ground Clearance 51 cm (20 in) 46 cm (18 in) 48 cm (19 in) Airbus A330 vs Boeing 767 & 777
Airbus A330 Series Boeing 767 Series Boeing 777 Series A330-200 A330-300 A330-F 767-200ER 767-300ER 767-300-F 767-400ER 777-200ER Two Cockpit crew Two 253 (3 cl.)
293 (2 cl.)
405 (1-cl.)[1]295 (3 cl.)
335 (2 cl.)
440 (1 cl.)- Seating capacity 181-255 218-351 - 245-375 301-440 58,8 m
(192 ft 11 in)63,6 m
(208 ft 8 in)58.8 m (192 ft 11 in) Length 48.5m 54.9m 61.4m 63.7m 17.40 m 16.9 m (55 ft 5 in) Height 15.8m 15.9m 16.8m 18.5m 60.3 m (197 ft 10 in) Wingspan 47.6m 51.9m 60.9m 5.28 m (17 ft 4 in) Cabin Width 5.64 m (18 ft 6 in) Hull Width 5.03 m [2] 233,000 kg (513,700 lb) Maximum take-off weight 179,170 kg (395,000 lb) 186,880 kg (412,000 lb) 204,110 kg (450,000 lb) 297,550 kg (656,000 lb) 182,000 kg (401,200 lb) 187,000 kg (412,300 lb) Maximum landing weight 2,200 m 2,500 m Takeoff run 0.82 Mach (896 km/h) Cruising speed 0.80 Mach 0.84 Mach 0.85 Mach (913 km/h or 490 knots at 35,000 ft.) Max Speed 0.86 Mach 0.89 Mach 12,500 km (6,750 nm) 10,500 km (5,670 nm) 7,400 km (4,000 nm) Range fully loaded 12,250 km (6,600 nm) 11,300 km (6,100 nm) 6,100 km (3,270 nm) 10,500 km (5,645 nm) 14,310 km (7,725 nm) 139,100 L
(36,750 US gal)97,170 L
(25,670 US gal)139,100 L Max. fuel capacity 90,770 L
(23,980 US gal)171,176 L
(45,220 US gal)136 m³
26 LD3s162 m³
32 LD3s475 m³ Cargo (volume) / ULDs 81.4 m³ 106.8 m³ 454 m³ 129 m³ 162 m³
32 LD3sPW PW4000
GE CF6-80E1
RR Trent 700Engines
(x2)PW PW4062
GE CF6-80C2B7FPW PW4062
GE CF6-80C2B8FPW PW4062
GE CF6-80C2B7F
RR RB211-524HPW PW4062
GE CF6-80C2B7F
RR RB211-524HPW PW4090
RR RR895
GE 90-94B303-320 kN
68,000-72,000 lbfMax Thrust
(x2)Engine Ground Clearance 0.56 m (1 ft 10 in) 0.81 m (2 ft 8 in) Airbus A350 vs Boeing 787 & 777
A350 Boeing 777 Boeing 787 A350-800 [3] A350-900 [4] A350-1000 A350-900R[5] A350-900F 777-200LR 777-200F 777-300ER[6] 787-9 787-10 [7] Two Cockpit crew Two 270 314 350 310 90t cargo Passengers (3cl) 301 103t cargo 365 263 310[8] 60.7 m 67.0 m 74.0 m 67.0 m Length 63.7 m 73.9 m 63.0 m 68.9 m 17.2 m Height 18.8 m 18.6 m 18.7 m 16.5 m 17.0 m 64.8 m Wingspan 64.8 m 60.0 m 60.1 m 19 ft 6 in (5.96 m)[9] Fuselage Width 20 ft 4 in (6.19 m) 18 ft 11 in (5.75 m) 18 ft 4 in (5.59 m) Cabin Width 19 ft 3 in (5.86 m) 18 ft (5.49 m) 31.9° Wing sweep 31.64° 32.2° 28 36 44 LD3 containers 32[10] 37 pallets 44[11] 36 44 248 268 298 MTOW (t) 347.452 347.450 351.534 244.940 272.150 185 205 228.5 Max landing (t) 183.7 197.3 115.7[EW 1] Empty weight (t) 145.2[EW 2] 167.8[EW 2] 115.3[EW 3] 125[EW 3] 129,000 138,000 156,000 Max fuel (l) 202,287 181,280 181,280 138,700 145,000 0.85 Cruise speed (M) 0.84 0.85 0.89 Max speed (M) 0.89 75,000 84,000 93,000 Thrust (lb) (× 2) 115,300 68,000 88,200 RR Trent XWB Engines GE90-110B GE90-115B RR Trent 1000 or GE GEnx 8,300 nm 15,400 km 8,100 nm 15,000 km 8,000 nm 14,800 km 9,500 nm 17,600 km 5,000 nm 9,250 km Range 9,420 nm 17,445 km 4,990 nm 9,065 km 7,900 nm 14,630 km 8,500 nm 15,750 km 7,500 nm[8] 13,890 km $208M $244M $270M TBA TBA Price $237M $232.5M $219M $178.5M TBA Empty weight EW:
- ^ Proposed manufacturer's weight empty including expected overweight.
- ^ a b Final operating empty weight
- ^ a b Proposed operating empty weight not including expected overweight
Airbus A380 vs Boeing 747
Airbus A380 Boeing 747 A380-800 [12] 747-400 [13] 747-400ER [14] 747-8I [15][16] Two Cockpit crew Two 525 / 644 / 853 (3/2/1-class) Passengers 416 / 524 (3/2-class) 467 (3-class) 73 m Length 70.6 m (231 ft 10 in) 76.4 m (250 ft 8 in) 24.1 m Height 19.4 m (63 ft 8 in) 19.5 m (64 ft 2 in) 79.8 m Wingspan 64.4 m (211 ft 5 in) 68.5 m (224 ft 7 in) Main deck: 6.58 m (21 ft 7 in)
Upper Deck: 5.92 m (19 ft 5 in)Cabin width 6.1 m (20.1 ft) 633 m² (333 + 300) Useful cabin-area 38 LD3 containers 30 28 36 276,800 kg (608,400 lb) Empty weight 178,756 kg (393,263 lb) 184,570 kg (406,900 lb) 214,500 kg (473,000 lb) 361,000 kg (796,000 lb) Max zero-fuel weight 246,074 kg 251,744 kg 291,000 kg (640,000 lb) 560,000 kg (1,235,000 lb) MTOW 396,890 kg (875,000 lb) 412,775 kg (910,000 lb) 442,000 kg (970,000 lb) 310,000 L (81,890 US gal) Max fuel 216,840 L (57,285 US gal) 241,140 L (63,705 US gal) 241,619 L (64,221 US gal) Mach 0.85 (900 km/h) Cruise speed Mach 0.85 (567 mph, 912 km/h at altitude) Mach 0.855, (567 mph, 913 km/h at altitude) Mach 0.96 (1030 km/h)[17] Max Operating Mach Mach 0.92 (987 km/h) 311 kN (70,000 lbf) Thrust (× 4) 63,300 lbf PW
62,100 lbf GE
59,500 lbf RR63,300 lbf PW
62,100 lbf GE66,500 lbf GP7270, Trent 970 Engines PW 4062
GE CF6-80C2B5F
RR RB211-524HPW 4062
GE CF6-80C2B5FGEnx-2B67 2,750 m (9,020 ft) Takeoff run at MTOW 3,018 m (9,902 ft) N/A 15,200 km (8,200 nmi) Range (3 class) 13,450 km (7,260 nm) 14,205 km (7,670 nm) 14,815 km (8,000 nm) The wide-body Boeing 747-8, the latest modification of Boeing's largest airliner, is notably in direct competition on long-haul routes with the A380, a full-length double-deck aircraft now in service. For airlines seeking very large passenger airliners, the two have been pitched as competitors on various occasions. Following another delay to the A380 programme in October 2006, FedEx and the United Parcel Service canceled their orders for the A380-800 freighter. Some A380 launch customers deferred delivery or considered switching to the 747-8 and 777F aircraft.[18][19]
Boeing's advertising claims the 747-8I to have over 10% lighter per seat and 11% less fuel consumption per passenger with a trip-cost reduction of 21% and a seat-mile cost reduction of more than 6% compared to the A380. The 747-8F's empty weight is expected to be 80 tonnes (88 tons) lighter and 24% lower fuel burnt per ton with 21% lower trip costs and 23% lower ton-mile costs than the A380F.[20] In order to counter the perceived strength of the 747-8I, from 2012 Airbus will offer, as an option, improved maximum take-off weight allowing for a better payload/range performance. The precise size of the increase in maximum take-off weight is still unknown. British Airways and Emirates will be the first customers to take this offer.[21] As of April 2009 no airline has canceled an order for the passenger version of the A380. Boeing currently has only two commercial airline orders for the 747-8I: Lufthansa (20) and Korean Air Lines (5).[22]
EADS A330 MRTT - Northrop Grumman KC-45A vs Boeing KC-767
Data are preliminary and partially copied from A330-200 and 767-200ER.
A330 MRTT - KC-45 KC-767 Advanced Tanker Length 59.69 m 48.5 m Height 16.9 m 15.8 m Fuselage Width 5.64 m 5.03 m Wingspan 60.3 m 47.57 m Surface area 361.6 m² Engines 2x RR Trent 700 or
GE CF6-80 turbofans2x Pratt & Whitney
PW4062Thrust (× 2) 316 kN 282 kN Passengers 226 - 280[23] 190 Range 12,500 km 12,200 km Cruise speed 860 km/h Mach 0.80 (851 km/h) Max speed Mach 0.86 (915 km/h) Mach 0.86 (915 km/h) Max takeoff weight 230 t 181 t Max landing weight 180 t 136 t Normal fuel load 250,000 lb (113,500 kg) 161,000 lb (73,100 kg) Maximum fuel load 250,000 lb (113,500 kg) plus 95,800 lb (43,500 kg)
of additional cargo or fuel loadover 202,000 lb (91,600 kg) Cargo (standard pallets) 32 (463L) pallets 19 (463L) pallets The announcement in March 2008 that Boeing had lost a US$40 billion refuelling aircraft contract to Northrop Grumman and Airbus for the EADS/Northrop Grumman KC-45 with the United States Air Force drew angry protests in the United States Congress.[24] Upon review of Boeing's protest, the Government Accountability Office ruled in favor of Boeing and ordered the USAF to recompete the contract. Later, the entire call for aircraft was rescheduled, then canceled, with a new call decided upon in March 2010.
Boeing later won the contest, with a lower price, on February 24, 2011.[25] The price was so low some in the media believe Boeing would take a loss on the deal; they also speculated that the company could perhaps break even with maintenance and spare parts contracts.[26] In July 2011, it was revealed that projected development costs rose $1.4bn and will exceed the $4.9bn contract cap by $300m. The first $1bn increase from the award price to the cap Government would be responsible for $600m under a 60/40 Government/Boeing split and with the additional $300m ceiling breach wholly Boeing would be responsible for $700m of the additional cost.[27][28][29][clarification needed]
Competition by outsourcing
Because many of the world’s airlines are wholly or partially government owned, aircraft procurement decisions are often taken according to political and commercial criteria. Boeing and Airbus seek to exploit this by subcontracting production of aircraft components or assemblies to manufacturers in countries of strategic importance in order to gain a competitive advantage.
For example, Boeing has offered longstanding relationships with Japanese suppliers including Mitsubishi Heavy Industries and Kawasaki Heavy Industries by which these companies have had increasing involvement on successive Boeing jet programs, a process which has helped Boeing achieve almost total dominance of the Japanese market for commercial jets. Outsourcing was extended on the 787 to the extent that Boeing’s own involvement was reduced to little more than project management, design, assembly and test operation, outsourcing most of the actual manufacturing all around the world. Boeing has since stated that it "outsourced too much" and that future airplane projects will depend far more on Boeing's own engineering and production personnel.[30]
Partly because of its origins as a consortium of European companies, Airbus has had fewer opportunities to outsource significant parts of its production beyond its own European plants. However, in 2009 Airbus has opened an assembly plant in Tianjin, China for production of its A320 series airliners.[31]
Competition through use of technology
Airbus sought to compete with the well-established Boeing in the 1970s through its introduction of advanced technology. For example, the A300 made the most extensive use of composite materials yet seen in an aircraft of that era, and by automating the flight engineer's functions, was the first large commercial jet to have a two-man flight crew. In the 1980s Airbus was the first to introduce digital Fly-by-wire controls into an airliner (the A320).
Since then Airbus has established itself as a viable competitor to Boeing, both companies use advanced technology to seek performance advantages in their products. For example, the Boeing 787 Dreamliner will be the first large airliner to use composites for most of its construction.
Competition through provision of engine choices
The competitive strength in the market of any airliner is considerably influenced by the choice(s) of engine available. In general, airlines prefer to have a choice of at least two engines from the major manufacturers General Electric, Rolls-Royce and Pratt & Whitney. However engine manufacturers prefer to be single source, and often succeed in striking commercial deals with Boeing and Airbus to achieve their objective. Several notable aircraft have only provided a single engine offering: the Boeing 737-300 series onwards (CFM56), the Airbus A340-500 & 600 (Rolls-Royce Trent 500), the Airbus A350 (Rolls-Royce Trent XWB - so far) the Boeing 747-8 (GEnx-2B67), and the Boeing 777-300ER/200LR/F (General Electric GE90).[32]
Effect of currency on competition
Boeing's production costs are mostly in United States dollars, while Airbus' production costs are mostly in euros. When the dollar appreciates against the euro the cost of producing a Boeing aircraft rises relative to the cost of producing an Airbus aircraft, and conversely when the dollar falls relative to the euro it is an advantage for Boeing. There are also possible currency risks and benefits involved in the way aircraft are sold. Boeing typically prices its aircraft only in dollars, while Airbus, although pricing most aircraft sales in dollars, has been known to be more flexible and has priced some aircraft sales in Asia and the Middle East in multiple currencies. Depending on currency fluctuations between the acceptance of the order and the delivery of the aircraft this can result in an extra profit or extra expense - assuming Airbus has not purchased insurance against such fluctuations.[33]
Orders and deliveries
Orders 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 Airbus 1231 574 271 777 1341 790 1055 370 284 300 375 520 476 556 460 326 106 125 38 136 101 404 421 Boeing 495 530 142 662 1413 1044 1002 272 239 251 314 588 355 606 543 708 441 125 236 266 273 533 716 Sources 2011: Airbus net orders until October 31 <http://www.airbus.com/company/market/orders-deliveries/>
Boeing net orders until November 16 <http://active.boeing.com/commercial/orders/index.cfm>Deliveries 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 Airbus 418 510 498 483 453 434 378 320 305 303 325 311 294 229 182 126 124 123 138 157 163 95 105 Boeing 387 462 481 375 441 398 290 285 281 381 527 491 620 563 375 271 256 312 409 572 606 527 402 Sources 2011: Airbus deliveries until October 31 <http://www.airbus.com/company/market/orders-deliveries/>
Boeing deliveries until October 31 <http://active.boeing.com/commercial/orders/index.cfm?content=displaystandardreport.cfm&optReportType=CurYrDelv>Orders and deliveries, by product
Civil airplanes 2010 Deliveries 2010 Orders 2010 Backlog Historical Deliveries ending Dec 2010 Airbus Boeing Airbus Boeing Airbus Boeing Airbus Boeing single aisle 1010 707 single aisle 1831 727 single aisle 401 A320 376 737 416 A320 486 737 2418 A320 2186 737 4728 A320 6637 737 single aisle 1049 757 widebody 12 767 3 767 50 767 561 A300
255 A310994 767 widebody 87 A330
4 A34074 777 47 A330
1 A34046 777 354 A330
4 A340253 777 750 A330
350 A340910 777 widebody 0 A350 0 787 78 A350 -4 787 583 A350 847 787 0 A350 0 787 widebody 18 A380 0 747 32 A380 -1 747 193 A380 107 747 41 A380 1418 747 Total 510 462 574 530 3552 3443 6685 13849 Boeing (1957) and Airbus (1972) until 31st December, 2010 Sources : Wikipedia pages and Analysis: Airbus’s late push sees off Boeing - again
Effect of competition on product plans
The A320 has been selected by 222 operators (Dec. 2008), among these several low-cost operators, gaining ground against the previously well established 737 in this sector; many full-service airlines also have selected it as a replacement for 727s and aging 737s, such as United Airlines and Lufthansa; and after 40 years the A380 now challenges the Boeing 747s dominance of the very large aircraft market. The Boeing 747-8 is a stretched and updated version of the venerable 747-400 and will offer greater capacity, fuel efficiency and longer range. Frequent delays to the Airbus A380 program caused several customers to consider cancelling their orders in favour of the refreshed 747-8,[34] although none have done so and some have even placed repeat orders for the A380. However, all A380F orders have been canceled. To date, Boeing has secured orders for 78 747-8F and 28 747-8I with first deliveries originally scheduled for 2010 and 2011 respectively now, after certification the 747-8F, revised to 2011 and 2012 as the 747-8I is still (as of August 2011) being test-flown, while Airbus has orders for 234 A380s, the first of which entered service in 2007 and has delivered a total of 53 to customers (as of July 2011).
Several Boeing projects were pursued and then canceled, like the Sonic Cruiser, launched in 2001. Boeing is now focused on the Boeing 787 Dreamliner as a platform of total fleet rejuvenation, which uses technology from the Sonic Cruiser concept. Despite having been delayed by more than three years, the 787 is still the fastest selling wide-body airliner in history. The 787's rapid sales success and pressure from potential customers forced Airbus to revise the design of its competing A350.
Boeing first ruled out producing a re-engined version of its 737 to compete with the A320neo launch in 2016 saying it did not believe airlines would be willing to pay 10% more for only a few percentage gained in fuel efficiency, instead airlines would be looking towards the next major redesign and a 30% fuel saving. The company is facing airline pressure to offer a direct re-engined competitor including from Southwest Airlines who use the 737 for their entire fleet (680 in service or on order) saying they were not prepared to wait 20 years or more for a new 737 model and threatening to convert to Airbus. Industry sources believe that a re-engine of the 737 would be considerably more expensive for Boeing than it was for Airbus A320 due to the 737's design but decided to do so during the summer of 2011.[35]
There are 5,417 (April 30, 2009) Airbus aircraft in service, with Airbus managing to win over 50 per cent of aircraft orders in recent years. Airbus products are outnumbered by in-service Boeings.
Safety
Both aircraft manufacturers have good safety records on recently manufactured aircraft. By convention, both companies tend to avoid safety comparisons when selling their aircraft to airlines. Most aircraft dominating the companies' aircraft sales, such as the Boeing 737-NG and Airbus A320 families (as well as both companies' wide-body offerings) have good safety records as well. Older model aircraft such as the Boeing 727, the original Boeing 737s and 747s, Airbus A300 and Airbus A310, which were respectively first flown during the 1960s, 1970s, and 1980s, have had higher rates of fatal accidents.[36]
Controversies
Subsidies
Boeing has continually protested over launch aid in the form of credits to Airbus, while Airbus has argued that Boeing receives illegal subsidies through military and research contracts and tax breaks.[37]
In July 2004 Harry Stonecipher (then-Boeing CEO) accused Airbus of abusing a 1992 bilateral EU-US agreement providing for disciplines for large civil aircraft support from governments. Airbus is given reimbursable launch investment (RLI, called "launch aid" by the US) from European governments with the money being paid back with interest, plus indefinite royalties if the aircraft is a commercial success.[38] Airbus contends that this system is fully compliant with the 1992 agreement and WTO rules. The agreement allows up to 33 per cent of the programme cost to be met through government loans which are to be fully repaid within 17 years with interest and royalties. These loans are held at a minimum interest rate equal to the cost of government borrowing plus 0.25%, which would be below market rates available to Airbus without government support.[39] Airbus claims that since the signing of the EU-U.S. agreement in 1992, it has repaid European governments more than U.S.$6.7 billion and that this is 40% more than it has received.
Airbus argues that the pork barrel military contracts awarded to Boeing (the second largest U.S. defense contractor) are in effect a form of subsidy (see the Boeing KC-767 vs EADS (Airbus) KC-45 military contracting controversy). The significant U.S. government support of technology development via NASA also provides significant support to Boeing, as does the large tax breaks offered to Boeing which some claim are in violation of the 1992 agreement and WTO rules. In its recent products such as the 787, Boeing has also been offered substantial support from local and state governments.[40] However, Airbus' parent, EADS, itself is a military contractor, and is paid to develop and build projects such as the Airbus A400M transport and various other military aircraft.[41]
In January 2005, the European Union and United States trade representatives, Peter Mandelson and Robert Zoellick (since replaced by Rob Portman, and then Susan Schwab, and the present office holder, Ron Kirk) respectively, agreed to talks aimed at resolving the increasing tensions. These talks were not successful with the dispute becoming more acrimonious rather than approaching a settlement.
In September 2009, the New York Times and Wall Street Journal reported that the World Trade Organization would likely rule against Airbus on most, but not all, of Boeing's complaints; the practical effect of this ruling would likely be blunted by the large number of international partners engaged by both plane makers. as well as the expected delay of several years of appeals. For example, 35% of the Boeing 787 Dreamliner is manufactured in Japan. Thus, some experts are advocating a negotiated settlement.[42] In addition, the heavy government subsidies offered to automobile manufacturers in the United States have changed the political environment; the subsidies offered to Chrysler and General Motors dwarf the amounts involved in the Airbus-Boeing dispute.[43]
World Trade Organization litigation
"We remain united in our determination that this dispute shall not affect our cooperation on wider bilateral and multilateral trade issues. We have worked together well so far, and intend to continue to do so."
Joint EU-US statement[44]On 31 May 2005 the United States filed a case against the European Union for providing allegedly illegal subsidies to Airbus. Twenty-four hours later the European Union filed a complaint against the United States protesting support for Boeing.[45]
Increased tensions, due to the support for the Airbus A380, escalated toward a potential trade war as the launch of the Airbus A350 neared. Airbus would prefer the A350 programme to be launched with the help of state loans covering a third of the development costs although it has stated it will launch without these loans if required. The A350 will compete with Boeing's most successful project in recent years, the 787 Dreamliner. EU trade officials questioned the nature of the funding provided by NASA, the Department of Defense, and in particular the form of R&D contracts that benefit Boeing; as well as funding from US states such as the State of Washington, Kansas, and Illinois, for the development and launch of Boeing aircraft, in particular the 787.[46] An interim report of the WTO investigation into the claims made by both sides was made in September 2009.[47]
In March 2010, the WTO ruled that European governments unfairly financed Airbus.[48] In September 2010, a preliminary report of the WTO found unfair Boeing payments broke WTO rules and should be withdrawn.[49] In two separate findings issued in May 2011, the WTO found, firstly, that the US defense budget and NASA research grants could not be used as vehicles to subsidise the civilian aerospace industry and that Boeing must repay $5.3 billion of illegal subsidies.[50] Secondly, the WTO Appellate Body partly overturned an earlier ruling that European Governments launch aid constituted unfair subsidy, agreeing with the point of principle that the support was not aimed at boosting exports and some forms of public-private partnership could continue. Part of the $18bn in low interest loans received would have to be repaid eventually; however, there was no immediate need for it to be repaid and the exact value to be repaid would be set at a future date.[51] Both parties claimed victory in what is the world's largest trade dispute.[52][53][54]
See also
- Boeing Commercial Airplanes
- Airbus Executive and Private Aviation
- List of civil aircraft
- Cooperation between Bombardier and Comac
References
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Further reading
- Newhouse, John (2007), Boeng versus Airbus, USA: Vintage Books, ISBN 978-1-4000-7872-1
External links
- Official Airbus Website
- Official Airbus Military website
- Complete production lists of all Airbus models
- Official Boeing Website
- Seatguru: Airplane seating chart for many Airlines and Boeings, Airbusses and others
- BBC Q&A: Boeing and Airbus
Airbus and Airbus Military aircraft Civil A300 · A300 Beluga · A310 · A320 family (A318/ A319/A320/A321) · A330 · A340 · A380
Military In development/ proposed Other supported types Boeing airliners Piston-engined Jet-engined In development 737 MAX · 747-8I
Proposed Not developed
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