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Airlines Have Lagged in AI – How They Are Using it Now


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Airlines have generally taken more time to jump on board the generative AI bandwagon. But that’s changing.
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United Airlines is embedding AI throughout the company.

That’s what its CEO, Scott Kirby, told investors earlier this year as he outlined some of the company’s work.

While online travel agencies, travel tech companies, and some hotel brands have been talking about generative AI since shortly after its release in 2022, airlines have generally taken more time to jump on board. But that’s changing. More of them have been releasing customer-facing AI tools and talking about what they’re doing behind-the-scenes. 

Below is an outline about what a handful of airlines have shared this year in public comments. 

United Airlines

United Airlines has posted a couple of announcements about customer-facing AI tools recently, but Kirby said AI is proving to be more impactful in ways that the customer doesn’t necessarily see. 

“We have been … using genAI in all kinds of ways that maybe are not as sexy as some of the big high-profile announcements, but are a whole lot more impactful for the airline and operations,” Kirby said. 

He described one of the applications he finds most interesting: “We have these old labor contracts that go back decades, and they've got all these provisions that have built up over decades. You have people that have 25, 30 years of experience trying to interpret what the labor contracts mean when a pilot or a flight attendant or someone calls with some unusual situation. Some of the provisions are hard to know and always hard to figure out. Amazingly, genAI can read the contract and give you a really good answer.”

During a webinar earlier this year, United described some other tests it’s working on to integrate AI into customer service and call center operations. Among the tools: AI should be able to flag when a customer runs into issues on the app, like when when having difficulties purchasing checked baggage for a flight, and send that info to a representative who can intervene. 

United has been improving a tool called Connection Saver, which sends automatic updates to passengers about delays, sometimes telling them why there’s a delay if the company believes it can ease frustration. Kirby said the focus is on communicating delays in ways that customers can understand. “And we're getting better and better in that. I think we're in the first inning of that.”

The airline is still piloting ways it can use AI for more complicated tasks, like rebooking. 

Some other United AI initiatives:

  • United began utilizing generative AI on the company’s website to expedite customer searches. It has also integrated generative AI into the flight status notification system as a way to improve real-time updates to customers.
  • Last quarter, United said it had the highest quarterly rate for digital check-ins in two years. It attributes that to new app products, like a basic economy check-in experience and in-app Spanish translation. 
  • More than half of customers who experienced a cancellation in the fourth quarter resolved their issues through United's automated solutions or self-service.

Southwest Airlines

Southwest Airlines said it has been using AI to power marketing campaigns, as well as to increase operational efficiency and improve customer service. It comes in part from $1.7 billion that the airline earmarked for tech investment in 2024. 

“During 2024, as a result of these efforts, the Company experienced fewer contact center calls per trip, while increasing app utilization on the day of travel, each as compared with 2023,” Southwest said in an annual report released last month. “The Company’s digital service modernization program is expected to continue to deliver additional enhancements and efficiencies in 2025.”

Southwest said it has made advancements in marketing automation, particularly through the mobile app. The company has been using generative AI to assist with writing copy, specifically refining messaging and optimizing sales conversions. 

IAG

International Airlines Group (IAG) said in a recent presentation that it’s using AI for operations efficiency throughout all of its airlines. The company owns British Airways, Iberia, Vueling, Aer Lingus, and Level.

Specifically, the company is using AI to automate Vueling’s scheduling, maintenance, and reporting. IAG recently said it is also looking at ways it can use AI for capacity planning and commercial bookings management.

British Airways last year said it was exploring ways to implement AI around booking, baggage handling, predicting delays, analyzing weather in real time, aircraft capacity, and airport connections.

Coming this year, IAG said it plans to release an in-app wayfinding feature meant to guide passengers to their gate while in the airport. 

Three Other Airline AI Projects

Delta: The airline released an AI-powered “assistant” on its app called Delta Concierge, which the company says can help with trip planning as well as notify customers of passport expiration dates and visa requirements for trip planning. The tool also gives wayfinding directions inside airports. The plan is that it will eventually offer destination-specific notifications on the app, such as updates on weather conditions.

Ryanair: “We and some of the OTAs are also looking at advancing artificial intelligence and machine learning to improve the way we display our fares and pricing, and then convert people into using the ancillary services,” CEO Michael O'Leary said to investors. 

Qatar Airways: The airline last week released an AI-powered assistant for flight bookings, an upgrade of the trip planning tool it released in 2024. The tool can help plan round trips and one-way trips for individuals and groups, with a plan to add multi-city bookings in the future.

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