Silverjet ceases operations

As expected, Silverjet ceased all operations on Friday, marooning more believers in the “business-class-only” model and completing the hat trick of airlines in that niche to go bankrupt in the last six months. At root of the issue are the same old villains, high oil prices and lack of demand in the business-class-only market. It’s just too hard to get started as a niche carrier these days.

On their website, the recently deceased airline leaves a brief eulogy and thank you to its dedicated passengers, offering to those stranded: “You are advised to seek alternative travel arrangements with other carriers, and contact your credit card company or travel agent directly for information on obtaining refunds.”

So much for their CEO Lawrence Hunt’s strong words and encouragement after Eos and Maxjet fell.

All eyes are now on L’avion, the French carrier established in 2006 flying under the same business model (but to Paris instead of London). Will they prevail where Maxjet, Eos and Silverjet failed? What about British Airways‘ OpenSkies airlines who are set to fly next month?

I wish there was not as direct a correlation between oil prices and airline bankruptcies as there is now. But if it the statistical data hold true, I’m not sure if anyone has a chance anymore.

United calls off merger talks with U.S. Airways

United and U.S. Airways formally put an end to their merger talks yesterday, citing rising oil prices that are making it difficult for airlines across the board to be profitable.

Both airlines announced the end of talks in messages to their employees.

According to the Associated Press, United CEO Glenn Tilton said: “After a considered review by our board of directors, United has determined that it will not be pursuing a merger at this time due to issues that could significantly dilute benefits from a transaction. We are evaluating other options, and will do what is right for United.”

United “will take the additional steps to size the business appropriately, leverage our capacity discipline to pass on commodity costs to customers and accelerate development of new revenue sources,” Tilton added.

The merger would have formed the world’s largest airline, but industry experts say it would have almost certainly increased ticket prices and reduced travel routes as well.

United has not closed the door on forming an alliance with another airline, a move that offers many of the benefits of a merger but stops short of total consolidation. Right now, United and Continental are in alliance talks.

Gadling TAKE FIVE: Week of May 24–May 30

Although, finding deals are still on our minds (poor Iva in Moscow is having little luck), food and drink has been one topic of interest this week.

  • Iva, for example, has found some solace in the vodka. She’s discovered loads of it, and all brands are not the same.
  • Aaron has clued us into saying good-bye to free peanuts–even though they cost peanuts– and has told us where the best places to drink in 2008 are located.
  • Tynan was wined and dined at the Lalu Hotel in Taiwan and found out that while staying in luxury you can eat vegan.
  • Kent shared the advantages of a two-day trip to San Juan, one being eating Mexican food overlooking the ocean, Must be tough.
  • But, if you want to know what it’s like to work on an organic farm, ask Jerry. He has first-hand experience. It sounds tough. Check out part two tomorrow.
  • I’m the one, though, who knows all about White Castle hamburgers, and I’m proud of it.

Have a great last half a weekend in May. Sunday is June 1. Hope you find something yummy.

Singapore, Emirates and six other luxurious airlines

So, most of us — this writer included — are doing nothing but complaining about the state of the airline industry. My innocuous post two days ago about U.S. Airways ditching its free snacks has thus far elicited 49 comments from readers, most taking a dim view of the airline in particular and flying in general.

To be sure, if we’re talking about U.S. airlines, there’s plenty to complain about, and a lot of air travel these days is, pure and simple, hell.

But Newsweek is trying to remind us that it’s not all bad up there in the skies — so long as you can afford it.

The magazine is singling out what it says are the eight most luxurious airlines in the world right now, and by the looks of some of these pictures, some of these flying experiences might have you thinking hard about actually caring whether you reach your destination. I’d take a five-hour tarmac delay in any of these babies.

According to Newsweek, the eight most luxurious airlines in the world are, in no particular order:

  • Virgin Atlantic
  • Qatar Airways
  • Emirates
  • Singapore
  • British Airways
  • Qantas
  • Thai Airways
  • Swiss International Airlines

O.K., so the photos in the slide show look pretty fake. But hey, they’re selling a fantasy, right?

What’s the most luxurious airline you’ve ever flown on? Drop us a line.

In-flight system might find terrorists on passenger planes

Years ago, a good friend of mine once worked for a company in Albuquerque, New Mexico that created computer programs to simulate flight patterns of airplanes so that they could be used in military training. The programs were to help people to tell the difference between friendly airplanes and foe airplanes. I think there was a neutral category as well. The company gave an open house once so I learned a bit about how the system was supposed to work. The details are a bit fuzzy. I don’t know if the efforts were successful, but there were months spent on the project.

Spring forward to 2008. These days, the technology for tracking threats is narrowing down to the inside of an airplane. According to this article in New Scientist Tech, the Security of Aircraft in the Future European Environment (SAFEE) project is one that combines surveillance cameras with “Big Brother” software in order to see all activities in an airplane. Is that person sitting next to you a friend or a foe? One aspect of the system is that each seat has a camera focused on it.

Things like: Just how long has that person been standing next to the cockpit door? What’s with the person lounging around between the galley and the bathroom? Are they looking to join the Mile High Club, or something else? That person in the left aisle seat of row J looks suspicious and is sweating buckets. Is that person just extremely hot or a terrorist?

The idea of SAFEE is that a surveillance camera system can alert personnel about a potential threat before the threat takes action. Because the system has the capability of seeing all parts of the aircraft’s inside, a terrorist can’t hide out behind a drink cart. (Except with peanuts not being served as cost saving, I’d say drinks will be the next to go. Then it will be, what cart?)

Critics of this system say that it will need to be tested on thousands of passengers before it is declared reliable.

I’m thinking that if the system doesn’t work after cameras are installed in planes, there is potential for a reality TV show. It doesn’t take more than belongings spilling out of an overhead bin and bonking people in the head for people to laugh from the comfort of their living room. Showing what happens in people’s seats with the right commentary to go along with the footage might be entertaining indeed.