New Dreamliners On Hold
Wednesday, December 17th, 2008
The much-anticipated release of the Boeing 787 Dreamliner has been delayed because of the labor issues the airplane manufacturer only recently resolved. In November, Boeing agreed to a new contract with a labor union. However, the picket lines meant that problems with the 787 could not be rectified in time for its first scheduled flight.
Though the maiden voyage is important for publicity purposes, the real problem for Boeing is the fact that the strike also forced the delivery dates for the first Dreamliners back to 2010. That’s nearly two years after they were promised. All Nippon Airways ordered a number of 787s. They might now be able to ask for a partial refund from Boeing because of the delays. Other customers might be in line for similar payment because of breach of contract.
This is not the way that Boeing wanted to launch its answer to the super-jumbo Airbus A380. The A380 has already made its maiden voyage and it set to join the fleets of several major airlines. In the competitive field of airplane manufacturing, Airbus and Boeing are each others main competition. The 787 Dreamliner is Boeing’s first new model in almost a decade. However, Airbus has beat it to the punch. That means a large amount of publicity for the upstart manufacturer. Also, Airbus is rapidly gaining a reputation for customer satisfaction. Its deliveries are on time and its new plane has been receiving rave reviews. This is a serious challenge to Boeing’s dominance, especially in the jumbo aircraft market.
The loss of their edge could be deadly in these tough economic times. Airlines have been scaling back their orders for new aircrafts and some, like United, are leasing or selling planes in an attempt to shore up their budgets. Dissatisfied customers like ANA could possibly bolt from Boeing and try their luck with the A380.