Koala Airlines tight-lipped on how it will take on the Qantas, Virgin duopoly
ABCBill Astling says he knows what it takes to start a new airline in Australia. He says Koala will instead take the approach of Aldi or IGA in Australia's supermarket sector, filling "niches" left by the big two. "It's sort of a sign of, if you like, not illegal, but silent cooperation between Qantas and Virgin to drive the third player out of the market," Fels says. An ACCC spokesperson says it's investigated a range of concerns raised by those in the industry, including Rex, and found that while some airlines' actions may have impacted the market, they didn't meet the threshold of "substantially lessening competition". A Qantas Group spokesperson said having Jetstar as part of the company means overheads are shared and warned that breaking it up would "increase costs and put upward pressure on fares".
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