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Historyofairlineindustry1900 2000 170114101349 PDF
Historyofairlineindustry1900 2000 170114101349 PDF
(1900’s – 2000’s)
AN INDIVIDUAL REPORT
Submitted by
CAF01AUG1610
U.W.S. DILRUKSHI
In partial fulfillment for the completion
Of
Presenting and performing this report of this assignment would not have been possible
without the support of our Lecturer Mr. Sampath Soysa.
I would like to extend my sincere thanks to course coordinator Mr. Primal Jayasooriya
the Training Operations Supervisor (IAA) at SriLankan Aviation College for facilitating us
with this resourceful & productive certificate course which provided us an opportunity to
learn the basic foundation of Aviation industry and Mr. Sampath Soysa for the helpful
guidance and
constant supervision throughout.
TABLE OF CONTENTS
1 Chapter: .............................................................................................................................. 6
Beginning Of The Airline Industry .......................................................................................... 6
1.1 First Airline – Delag (1909) .......................................................................................... 8
1.2 First Commercial Flight (1914) ..................................................................................... 8
1.3 Oldest Airline Carrier – Klm.......................................................................................... 9
1.4 First Sea Plane ............................................................................................................ 9
2 Chapter: .............................................................................................................................10
World War I ..............................................................................................................................10
2.1 International Air Traffic Assosication (1919) ................................................................12
3 Chapter: .............................................................................................................................13
Era Of Airmail (1917) ...............................................................................................................13
3.1 First Airmail Flight (1918) ............................................................................................14
3.2 First Transcontinetial Air Service (1919-1920) ............................................................14
3.3 Introduction Of Scheduled Commercial Air Services (1920) ........................................15
3.4 The Contract Air Mail Act Of 1925...............................................................................15
3.5 The Air Commerce Act Of 1926 ..................................................................................16
3.6 Ford's Tin Goose (1927) .............................................................................................16
3.7 First Trans-Atlantic Non-Stop Flight (1927) .................................................................17
3.8 The Watres Act And The Spoils Conference (1930) ....................................................18
3.9 Scandal And The Air Mail Act Of 1934 ........................................................................19
4 Chapter ..............................................................................................................................20
Era Of Demand & Innovation ..................................................................................................20
4.1 Aircraft Innovations (1930s) ........................................................................................21
4.1.1 Water Cooled Engines .........................................................................................21
4.1.2 Cockpit Advancements With Artificial Horizon ......................................................21
4.1.3 Iata Implemented Standards & Regulations .........................................................22
4.2 The Dawn Of The Jet Age...........................................................................................22
4.2.1 First Jet Engine (1930) .........................................................................................22
4.3 Radio Communication (1932) .....................................................................................23
4.4 Developed Twin Engine Planes (Boeing 247 And Douglas Dc-3) (1933) ....................24
4.4.1 First Modern Passenger Airliner (Boeing 247) (1933) ..........................................24
4.4.2 Dc-1, Douglas Aircraft Company (1933)...............................................................26
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LIST OF FIGURES
Figure 1: First powered flight flew 37m for 12seconds
Figure 2: Oliver & Wilbur Wright
Figure 3: 1st Passenger Leon De Lagrange
Figure 4: DELAG
Figure 5: Zeppelin Corporation
Figure 6: 1st Airboat line schedule; Petersburg-Tampa
Figure 7: Tony Jannus (Pilot) with Abram C. Pheil
Figure 8: First sea plane
Figure 9: World War I (1914 – 1918)
Figure 10: World War I squadron of flying corps
Figure 11: The surplus Bomber planes used at WWI is gathered to form 20 small
passenger airlines
Figure 12: International Air Transport Association now promotes safe, regular &
economical air transportation standards.
Figure 13: Coast to Coast Transcontinental Air services
Figure 14: At night the Mails from the Airplanes were handed over to the Trains
Figure 15: Airmail Act of 1925 by Rep. Clyde Kelly
Figure 16: Auto Mobile Manufacturer moved into Aircraft Manufacturing in 1927 and
produced the Ford Trimotor (Tin Goose)
Figure 17: First Transatlantic Non-Stop Flight by Charles Lindbergh on 20th May 1927
Figure 18: Air Mail Act of 1930
Figure 19: Plane crash that killed 8 people in 1931
Figure 20: Developed new instruments in the Cockpit (altimeters, airspeed indicators, rate-
of-climb indicators, Artificial Horizon etc.
Figure 21: First Jet Engine by Frank Whittle
Figure 22: Radio communication was used to communicate with the ground as an aid to
navigation.
Figure 22: Boeing 247 Aircraft, first modern passenger airliner
Figure 23: Boeing 247 interior with 10 pax capacity
Figure 24: Boeing 247 cockpit
Figure 25: DC-1 Aircraft and its narrow body interior
Figure 26: DC-2 Aircraft
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HISTORY OF AIRLINE INDUSTRY
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HISTORY OF AIRLINE INDUSTRY
EXECUTIVE SUMMARY
Aviation has evolved into one of the world’s most important high technology industries.
Its remarkable progress has been made possible by a number of factors, including military
developments, technological advances, and standards established by the world’s aviation
community.
The evolution of airline industry began from the first flight of Wright brother in 1900s which
encouraged the building of new innovative aircrafts. These aircraft were used by most of
the countries to facilitate airmail services. During the World War I aircrafts played a vital
role in carrying bombers and soldiers from place to place.
A large number of military aircrafts became available after World War I; they provided the
basis for starting many of the world’s first airlines, especially in Europe. The 1920s saw
the growth of commercial airlines worldwide. The military demands of World War II
provided a tremendous push to aviation technology, resulting in the development of
advances in aircraft design, navigation services, radar systems, radio communicating
systems and airport operation facilities.
Air cargo began to play an increasingly important role in the world economy in early
1950s, particularly in international trade. Since the beginning of the Jet age, both Tourists
class and Economy class service have been introduced and special jet aircrafts to
facilitate the accommodation to a greater number of passengers were evolved.
This signaled the beginning of the development of one of the world’s largest industries
and the world global tourist trade. At this time several regulatory bodies aroused to ensure
the safety regulations and standards for the airlines transportation system to make sure
the passengers are safe to fly.
Commercial aviation has played an essential role in the economic and social progress of
developing nations. The world’s scheduled airlines experienced a slower growth rate than
expected during the 1970s because of a number of setbacks
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CHAPTER:
Beginning of the Airline Industry
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01 - Beginning of the Airline Industry
Aviation industry came up in early 1900s when airplane designers in several countries
succeeded in achieving flights. (IATA, 2013)
On December 17, 1903, Orville and Wilbur Wright surpassed their four years of research
and design efforts to build up the first powered flight which is heavier than an air machine
flew 120-foot (37 meters) high for 12seconds in duration at Kitty Hawk, North Carolina
Figure 1: First powered flight flew 37m for 12seconds Figure 2: Oliver & Wilbur Wright
The first person to fly as a passenger was Leon DE Lagrange. He rode with French pilot
Henri Farman from a meadow outside of Paris in 1908.
The birth of the passenger travel was when the first fliers like
Wright Brothers took on passengers for short rides.
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01 - Beginning of the Airline Industry
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01 - Beginning of the Airline Industry
KLM, “Koninklijke Luchtvaart Maatschappi” which is also called the Royal Dutch
Airlines is the flag carrier airline of the Netherlands.
Figure 7: KLM
1.4 FIRST SEA PLANE
Glenn H. Curtiss flies the first successful American seaplane. Glenn Curtiss had designed
a plane that could take off and land on water and thus could be built larger than any plane
to date, because it did not need the heavy undercarriage required for landing on hard
ground.
These and other early flights were headline events, but commercial aviation was very
slow to catch on with the general public, most of whom were afraid to ride in the new
flying machines.
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HISTORY OF AIRLINE INDUSTRY
CHAPTER:
WORLD WAR I
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02 – World War I
When World War I began in Europe in 1914, the focus of aviation research turned to the
demands of nation’s war.
However, with the beginning of World War I, the military value of aircraft was quickly
recognized then the production of aircrafts increased a lot to meet the high demand for
planes from governments.
Most considerable was the development of more powerful motors, enabling aircraft to
reach speeds of up to 130 miles per hour which flies more than twice the speed of pre-
war aircraft.
Increased power also made larger aircraft possible. During the World War I, factories
used newly designed engines to put thousands of fighters and bombers into the skies.
After the war, a large number of military planes were not in use and many of these planes
became available for civilian use.
At the same time, the war was bad for commercial aviation in several respects. Due to
the war they focused all design and production efforts on building military aircraft. So in
the public's mind, flying became associated with bombing runs, surveillance and aerial
dogfights.
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02 – World War I
In addition, there was such a large surplus of planes at the end of the war that the demand
for new production was almost nonexistent for several years - and many aircraft builders
went bankrupt.
In 1919, the year of the world’s first non-stop transatlantic flight, the international air traffic
association (IATA) was created.
IATA was founded to establish the first set of common technical standards for the industry.
The original IATA ceased to function
during World War II, but was
recreated as today’s International Air
Transport Association in 1945.
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CHAPTER:
Era of Airmail (1917)
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03 – Era of Airmail (1917)
By 1917, the U.S. government felt enough advancement had been made in the
development of planes/Aircrafts to warrant something totally new.
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During the 1920s, scheduled commercial air services were introduced in Africa,
Australia, Japan, Mexico and most South American countries.
There was also a noteworthy expansion of the air routes across Europe. In the US, the
main focus of the early air transport was the delivery of mail.
It soon replaced the railways as the main means of providing transcontinental mail
service.
Passenger service only became significant in 1926 when the airline companies flying mail
between major U.S. cities began carrying passengers.
Although the early airlines were mostly founded as privately owned companies,
governments soon became interested in the industry and began forming larger, national
airlines, such as Air France and Italy’s AlaLittoria.
The European Airlines were able to make great progress during this time, further
expanding their networks across Europe and most continents including Africa.
These networks were essential in supporting the colonies and also the commerce related
to those colonies.
By the mid-1920s, the Post Office mail fleet was flying 2.5 million miles and delivering 14
million letters annually. However, the government had no intention of continuing airmail
service on its own.
Traditionally, the Post Office had used private companies for the transportation of mail.
So, once the possibility of airmail was confidently recognized and airline conveniences
were in place, the government moved to transfer airmail service to the private sector, by
way of competitive bids.
The legislative authority for the move was the “Contract Air Mail Act of 1925”, commonly
referred to as the Kelly Act after its chief sponsor, Rep. Clyde Kelly of Pennsylvania. This
was the first major step toward the creation of a private U.S. airline industry.
Winners of the initial five contracts were National Air Transport, Varney Air Lines,
Western Air Express, Colonial Air Transport and Robertson Aircraft Corporation.
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03 – Era of Airmail (1917)
National and Varney later become important parts of United Air Lines. They are originally
a joint business enterprise of the Boeing Airplane Company and Pratt & Whitney.
Western merged with Transcontinental Air Transport (TAT), another Curtiss subsidiary,
to form Transcontinental and Western Air (TWA).
Robertson became part of the Universal Aviation Corporation, which in turn would merge
with Colonial, Southern Air Transport and others, to form American Airways,
predecessor of American Airlines.
Juan Trippe, one of the original partners in Colonial, later established international air
travel with Pan Am. Pan Am is a carrier he founded in 1927 to transport mail between
Key West, Florida, and
Havana, Cuba. Figure 15: Airmail Act of 1925 by Rep. Clyde Kelly
This legislation authorized the Secretary of Commerce to designate air routes, to develop
air navigation systems, to license pilots and aircraft, and to investigate accidents.
The act brought the government into commercial aviation as regulator of the private
airlines spawned by the Kelly Act of the previous year.
Henry Ford, the automobile manufacturer, was also among the early successful bidders
for airmail contracts, winning the right, in 1925, to carry mail from Chicago to Detroit and
Cleveland aboard planes his company already was using to transport spare parts for his
automobile assembly plants.
More importantly, he jumped into aircraft manufacturing, and in 1927, produced the Ford
Trimotor, commonly referred to as the Tin Goose.
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03 – Era of Airmail (1917)
It was one of the first all-metal planes, made of a new material, duralumin, which was
almost as light as aluminum but twice as strong. It also was the first plane designed
primarily to carry passengers rather than mail.
Figure 16: Auto Mobile Manufacturer moved into Aircraft Manufacturing in 1927 and produced the Ford
Trimotor (Tin Goose)
The Ford Trimotor had 12 passenger seats; a cabin high enough for a passenger to walk
down the walkway without bent; and room for a "stewardess," or flight attendant, the first
of whom were nurses, hired by United in 1930 to serve meals and assist airsick
passengers.
The Tin Goose's three engines made it possible to fly higher and faster (up to 130 miles
per hour), and its strong appearance, combined with the Ford name, had an encouraging
effect on the public's sensitivity of flying.
However, it was another event, in 1927 that conveyed extraordinary public attention to
aviation and helped to secure the industry's future as a major mode of transportation.
It was the first trans-Atlantic non-stop flight in an airplane, and its effect on both Lindbergh
and aviation was enormous. Lindbergh became an instant American hero.
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03 – Era of Airmail (1917)
Figure 17: First Transatlantic Non-Stop Flight by Charles Lindbergh on 20th May 1927
Immediately after Congress approved the act, Brown held a series of meetings in
Washington to discuss the new contracts. The meetings were later called the “Spoils
Conference” because Brown gave them little publicity and directly invited only a handful
of people from the larger airlines.
He designated three transcontinental airmail routes and made it clear that he wanted
only one company operating each service rather than a number of small airlines handing
the mail off to one another.
His actions brought political trouble that resulted in major changes to the system two
years later.
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03 – Era of Airmail (1917)
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HISTORY OF AIRLINE INDUSTRY
CHAPTER
Era of Demand & Innovation
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04 – Era of Demand & Innovations
Most aviation piston engines are air-cooled. Air cooled engines are lighter than their major
alternative - water cooled engines, because the lower weight of air cooled engines in
aircraft design being a more important factor than the lower drag of water cooled engines.
While water cooled engines were widely used from the early days of flight, air cooled
engines were the dominant choice in aircraft.
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With the growing amount of air traffic, it was becoming more important for international
airlines to corporate.
The international air traffic association founded two decades earlier in 1919 and was able
to provide the framework for this collaboration.
Technical standards and commercial air transport regulations were developed and
implemented. This included the standardization of light decks and guidelines for marine
airports as well as the presentation of fire on board aircraft and the buildup of ice deposits.
In addition, the industry standards and procedures related to traffic handling and revenue
accounting were introduced
Even then, prevalent uncertainty about the commercial practicality of a jet prevented
Whittle's design from being tested for several years.
Once technical problems were worked out, the Department of Commerce constructed 83
radio beacons across the country. They became fully operational in 1932, automatically
transmitting directional beams, or tracks, that pilots could follow to their destination.
Marker beacons came next, allowing pilots to locate airports in poor visibility.
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The Boeing 247, developed in 1933, was revolutionary for its time and became the first
modern passenger airline
Boeing built what generally is considered the first modern passenger airliner, the Boeing
247. It was unveiled in 1933, and United Air Lines promptly bought 60 of them.
Based on a low-wing, twin-engine bomber with retractable landing gear built for the
military, the 247 accommodated 10 passengers and cruised at 155 miles per hour. Its
cabin was insulated, to reduce engine noise levels inside the plane, and it featured such
amenities as upholstered seats and a hot water heater to make flying more comfortable
to passengers.
Eventually, Boeing also gave the 247 variable-pitch propellers that reduced takeoff
distances, increased the rate of climb, and boosted cruising speeds. Although the Boeing
has being the first to enter the series of production, the 247 proved to have some serious
design deficiencies.
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04 – Era of Demand & Innovations
Figure 24: Boeing 247 interior with 10 pax capacity Figure: Boeing 247 cockpit
Manufacturer: Boeing
Number Built: 75
Crew: 3
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04 – Era of Demand & Innovations
Its DC-1 incorporated Boeing's innovations and improved upon many of them. This model
name DC-1 was derived from “Douglas Commercial”. Carl Cover took DC-1’s first flight
on 1st July 1933 and was introduced in December 1933.
It performed more than 200 flight tests and demonstrated its superiority over the most
used airliners by the time such as Ford Trimotor and Fokker Trimotor.
The DC-1 had a more powerful engine and accommodations for two more passengers
than did the 247. More importantly, the airframe was designed so that the skin of the
aircraft bore most of the stress on the plane during flight. There was no interior skeleton
of metal spars, thus giving passengers more room than they had in the 247.
The DC-1 also was easier to fly. It was equipped with the first automatic pilot and the first
efficient wing flaps, for added lift during takeoff. However, for all its advancements, only
one DC-1 was ever built.
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04 – Era of Demand & Innovations
Number Built: 1
Crew: 2 Pilots
Length: 60 feet
Wingspan: 85 feet
Height: 16 feet
The new, longer version was called the DC-2 and it was a big success, but the best was
still to come
The role of DC-2 was for the passenger and military transport. It was also built by the
Douglas Aircraft Company. DC-2 took his first flight in 11th May 1934 and was introduce
in 18th May 1934 with Trans World Airlines. Currently DC-2 is an retired aircraft but it was
primarily used by Transcontinental & Western Air, KLM and Pan America Airways.
This they produced 198 DC-2 aircrafts since 1934 to 1939. DC-2 was developed from
DC-1 and was later developed into B-18 Bolo Douglas DC-3.
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04 – Era of Demand & Innovations
Crew: 2–3
Wingspan: 85 feet
Height: 15 feet
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04 – Era of Demand & Innovations
Douglas Commercial – 3 (DC-3) is called the plane that changed the world, the DC-3 was
the first aircraft to enable airlines to make money carrying passengers. It was an Airliner
and a transport aircraft.
It was also built by the Douglas Aircraft Company. DC-3 took his first flight in 17th
December 1935 and was introduce in 1936 and it is still an active service aircraft. Douglas
Aircraft Company has built 607 DC-3 aircraft since 1936 to 1950.
As a result, it quickly became the dominant aircraft in the United States, following its debut
in 1936 with American Airlines (which played a key role in its design).
The DC-3 had 50 percent greater passenger capacity than the DC-2 (21 seats versus
14), yet cost only ten percent more to operate.
It also was considered a safer plane, built of an aluminum alloy stronger than materials
previously used in aircraft construction. It had more powerful engines, and it could travel
coast to coast in only 16 hours - a fast trip for that time.
Another important improvement was the use of a hydraulic pump to lower and raise the
landing gear. This freed pilots from having to crank the gear up and down during takeoffs
and landings.
For greater passenger comfort, the DC-3 had a noise-deadening plastic insulation, and
seats set in rubber to minimize vibrations. It was a fantastically popular airplane, and it
helped attract many new travelers to flying.
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04 – Era of Demand & Innovations
The airlines wanted to fly higher, to get above the air turbulence and storms common at
lower altitudes. Motion sickness was a problem for many airline passengers, and an
inhibiting factor to the industry's growth.
The breakthrough came at Boeing with the Stratoliner, a derivation of the B-17 bomber
introduced in 1940 and first flown by TWA. B-17 was a Heavy bomber manufactured by
Boeing and introduced in April 1938 though it had its first flight in 28 th July 1938.
This B-17 Aircraft was primarily used by United Sates Army Air Forces and Royal Air
Forces. It continued its production from 1936 to 1945 and produced 12,731 B-17 aircrafts.
This was later developed into Boeing 307 Stratoliner.
It was the first pressurized aircraft, meaning that air was pumped into the aircraft as it
gained altitude to maintain an atmosphere inside the cabin similar to the atmosphere that
occurs naturally at lower altitudes.
With its regulated air compressor, the 33-seat Stratoliner could fly as high as 20,000 feet
and reach speeds of 287 miles per hour.
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Crew: 10
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04 – Era of Demand & Innovations
Whittle also improved his jet engine during the war, and in 1942 he shipped an engine
prototype to General Electric in the United States.
America's first jet plane - the Bell P-59 - was built the following year.
Figure 32: Oldest & first control tower in the world Figure 33: Newark International Airport
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HISTORY OF AIRLINE INDUSTRY
CHAPTER
WORLD WAR II (1945)
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05 – World War II
Aviation had an enormous impact on the course of World War II and the war had a
significant impact on aviation.
The World War II began in September 1939. This caused the commercial aviation in
Western Europe come to a full stop.
Meanwhile, during 1940s, commercial aviation in central and South America continued to
grow, especially in Brazil, Argentina, Mexico and Colombia. Since they were unaffected
by the war they were able to establish widespread domestic networks as well as services
to neighboring countries.
As in the case of World War I, the demand of the Second World War provided a
remarkable push to Aviation technical department.
Military Needs again forced the advancements of aircraft technology, navigation services
and airport facilities.
Aircrafts of different types and sizes were built, different propulsion systems were
discovered, and the range and the speed of operations were increased.
The first jet engines were developed for military use, and Germany flew the world first
jet aircraft in 1939.
5.1 DEVELOPMENTS
There were fewer than 300 air transport aircraft in the United States when Hitler marched
into Poland in 1939.
By the end of the war, U.S. aircraft manufacturers were producing 50,000 planes a year.
For the first time in their history, the airlines had far more business - for passengers as
well as freight - than they could handle.
Most of the planes, of course, were fighters and bombers, but the importance of air
transports to the war effort quickly became apparent as well.
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05 – World War II
The major innovations of the wartime period - radar and jet engines - occurred in Europe.
Figure 35: Radar used to locate aircrafts and maintain safe distance between them
Another technological development with a much greater impact on the war's outcome
(and later on commercial aviation) was radar.
The 1940s also saw the development of radar. British scientists had been working on a
device that could give them early warning of approaching enemy aircraft even before the
war began. This technology was used by the air traffic controllers to maintain a safe
distance between aircraft along commercial airways and at airports.
By 1940 Britain had a line of radar transceivers along its east coast that could detect
German aircraft the moment they took off from the Continent. British scientists also
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05 – World War II
perfected the cathode ray oscilloscope, which created map-type sketches of nearby
countryside and showed aircraft as a beating light.
The elements for a full-fledged air transportation industry were coming together. Since
World War II, many countries have devoted national pride in the establishment and the
defense of state owned airlines, sometimes called flag carriers of legacy Airlines.
Figure 36: ICAO Logo The convention on international civil aviation, also
known as Chicago Convention, was signed in 1944 by
52 states.
Today’s IATA was formed just after World War II in April 1945, in Havana, Cuba. At it’s
the founding of IATA had 57 members from 31 nations, mostly in Europe and North
America. The most popular task of IATA during its earliest days were technical, because
safety and reliability are fundamental to airline operations.
The industry requires the highest standards in air navigation, airport infrastructure and
flight operations.
The IATA signatory airlines provided vibrant input to the work of ICAO, as that
organization drafted its Standards and Recommended practices.
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CHAPTER
The Jet Age (1950)
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06 – The Jet Age (1950s)
Fares were generally 20-25 percent lower than the standard first class fares. In tourist
class configuration, the aircraft could accommodate an average of 25 percent more
passengers, compared to the first class seating arrangement.
The introduction of this service set the stage for the development of one of the world’s
largest industries, global tourism. Following the successful launch of tourist class fares,
many airlines then agreed to launch another new class of service-economy class.
Fares for this class of service were about 20 percent lower than tourist class. The lowering
of fares made air travel more affordable, allowing greater numbers of people to take to
the air.
The Jet Age had arrived, and other airlines soon were lining up to buy the new aircraft.
In 1952, a 36-seat British-made jet, the Comet, flew from London to Johannesburg, South
Africa, at speeds as high as 500 miles per hour.
Two years later, the Comet's career ended sharply following two back-to-back accidents
in which the fuselage burst apart during flight due to a result of metal fatigue.
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06 – The Jet Age (1950s)
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06 – The Jet Age (1950s)
There was 1,010 Boeing 707’s produced since 1958 to 1979. And this Boeing 707 was
then developed into Boeing E-3 Sentry, Boeing E-6 Mercury etc.
Its engines proved more reliable than piston-driven engines - producing less vibration,
putting less stress on the plane's airframe and reducing maintenance expenses. They
also burned kerosene, which cost half as much as the high-octane gasoline used in more
traditional planes. With the 707, first ordered and operated by Pan Am, all questions about
the commercial feasibility of jets were answered.
Length: 144 feet 6 in. 152 feet 11 in. 145 feet 1 in. 152 feet 11 in.
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CHAPTER
Growth & Setbacks 1960s
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07 – The Jet Age (1950s)
In the 1960s the passenger airlines industry experienced further global growth. Air travel
became a large and a growing industry which facilitated economic growth, world trade,
international investment and tourism and is therefore central to the globalization take
place in many other industries.
Scheduled cargo traffic also made impressive gains. Travel for both business and leisure
purpose grew strongly worldwide. Government in developing countries realized the
benefits of tourism to their national economies and spurred the development of resorts
and infrastructure to appeal tourists, mainly from North America and Western Europe.
And then it started travelling to Africa, the Pacific and Asia as jet aircraft enhancements
improved the speed, safety and comfort of air travel.
Tourist traffic from japan began to develop at the end of this decade and into the next.
Meanwhile, the Caribbean countries became a favorite winter holiday destination. Middle
East carriers modernized their fleets and were able to increase their share of the
international airline market. At the same time, airline hijacking, or air piracy, became a
serious issue in the 1960s.
By the time the worldwide airline industry attracted more attention from public,
governments and many other stakeholders such as aircraft manufacturing companies due
to the vast transportation links that were forming continuously. The Air traffic, airline and
airport infrastructure, resources and scientific attention to the airline industry were greatly
improved. This raised up new aircraft manufacturing companies and new airports were
built while a vast range of different aircraft models entered into the market.
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CHAPTER
Era of Supersonics (1970s)
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HISTORY OF AIRLINE INDUSTRY
08 – Era of Supersonics (1970s)
When moving into 1970s the worlds scheduled airlines had to go through a slower growth
rate than expected. During this time the airline industry was faced with heavy capital
investments, escalating fuel costs and global inflation. Hijacking throughout the world in
1970s was at all-time high due to political unrest in certain places in the world.
In 1976, France and Great Britain began passenger service with their supersonic
transport, the Concorde. The end of this era saw the start of deregulation, a move which
would extremely change airline business operations.
1969 marked the introduction of another innovative aircraft, the Boeing 747, which, again,
Pan American Airways was the first to purchase and fly in commercial service. Boeing
747 is also called the Jumbo Jet or the Queen of the Skies.
It was the first wide-body commercial jet Airliner and cargo aircraft originated from United
States. It is also manufactured by the Boeing Commercial Airplanes which is still in
service. Boeing 747 took its first flight in 9h February 1969 and 22 nd January 1970 with
Pan Am.
Boeing 747 is still being produced since 1968 and there are more than 1500 Boeing 747
Jetliners produces by now. Boeing 747 was later developed into Boeing YAL-1 and
Boeing Dreamlifter. Primary users of Boeing 747 is British Airways, Korean Air, Lufthansa
and China Airlines.
Boeing 747 being the first produce wide body aircraft with two aisles, a unique upper deck
over the front section of the fuselage, and four engines makes it one of the most
recognizable aircraft in the world.
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HISTORY OF AIRLINE INDUSTRY
08 – Era of Supersonics (1970s)
Cockpit: 3 2
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HISTORY OF AIRLINE INDUSTRY
08 – Era of Supersonics (1970s)
Douglas built its first wide-body, the DC-10, in 1970, and only a month later, Lockheed
flew its contender in the wide-body market, the L-1011.
The DC-10 was manufactured by McDonnell Douglas and took it first flight in 29th August
1970 and introduced in 5th August 1971 with American Airlines. DC-10 is still in service
and its primary users are FedEx Express, KF Cargo, Transportes Aereos, Bolivianos and
United Airlines. DC-10 started producing since 1968 to 1988. And there are 386 aircrafts
produced. It was being later developed into McDonnell Douglas MD-11
The L-1011 TriStar was another wide body Airliner manufactured by Lockheed
Corporation and took its first flight in 16th November 1970 and was introduced in 26th
April 1972 with Eastern Airlines. It was being produced since 1968 to 1984 and there are
250 L-1011s built.
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HISTORY OF AIRLINE INDUSTRY
08 – Era of Supersonics (1970s)
Concorde is a Supersonic Transport jetliner originated from United Kingdom and France.
This was manufactured by BAC Sud Aviation. It took its first flight in 2nd March 1969 and
was introduced in 21th January 1976 which is now retired and was used by British Airways
and Air France.
Concorde had a maximum speed over twice the speed of sound (2,180 km/h) with a
seating capacity for 92 to 128 passengers. It continued flying for 27 years and retired
in 2003. It is one of only two supersonic transports to have been operated commercially;
the other was Soviet-built Tupolev Tu-144 which was operated for a very small period.
U.S. efforts to produce a supersonic passenger jet, on the other hand, stalled in 1971 due
to public concern about its expense and the sonic boom produced by such aircraft.
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HISTORY OF AIRLINE INDUSTRY
CHAPTER
The Airline Industry in 1980s & 1990s
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HISTORY OF AIRLINE INDUSTRY
09 – 1980s & 1990s
In 1978, the airline industry, which had been heavily regulated and controlled, was
enlightened from government inaccuracy and released to the impulses of the
marketplace. As a result, the industry underwent significant change during the 1980s and
1990s.
At the same time, several major air disasters took place, including the 1996 ValuJet and
TWA 800 aircraft crashes. The terrorist attacks of September 11, 2001, created further
change on the airline industry.
Just weeks after the attacks, President George w. bush signed the Air Transportation
Safety and System Stabilization Act (ATSSSA). According to a statement released by
President Bush on September 22, 2001, the act was intended to ensure passenger safety
and to "assure the safety and immediate stability of the nation's commercial airline
system."
9.1 DEREGULATION
When the first commercial airlines appeared after World War I, fewer than 6000
passengers a year traveled by air. By the 1930s, the Big Four—Eastern Air Lines, United
Air Lines, American Airlines, and Trans World Airlines (TWA)—dominated commercial air
transport.
These companies had gathered exclusive rights from the federal government to fly
domestic airmail routes, and Pan American held the rights to international routes. The
hold of these four airlines on their beneficial contracts went almost unchallenged until
deregulation in 1978.
Even after the formation of the Civil Aeronautics Board (CAB) in 1938, formed to license
new airlines, grant new routes, approve mergers, and investigate accidents, the Big Four
and Pan Am continued to be guaranteed permanent rights to these routes. In fact, no new
major scheduled airline was licensed for the next four decades.
In October 1978, Congress passed the Airline Deregulation Act. The government's goal
was to promote competition within the industry. The act gave airlines essentially open
rights to enter new routes without approval. The companies could also exit any market
and raise and lower fares at will.
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09 – 1980s & 1990s
After deregulation, the airlines also came to realize that they needed a more efficient way
to book reservations and issue tickets. It is difficult to imagine, in these days of highly
sophisticated computers and split-second communications, that until the late 1970s and
early 1980s, airline schedules were contained in large printed volumes, reservations were
taken over the telephone and tallied manually at the end of each day, and tickets were
written by hand.
Through skillful manipulation of the data, the airlines were able to put competitors at a
disadvantage. For example, the airline that owned the system might enter the data so
that all its flights to a particular destination appear on the screen before any flights of a
competitor.
In a further attempt to win loyalty from passengers, the large airlines instituted frequent-
flyer programs, which awarded free tickets to travelers after they logged a certain
number of miles flown with the company. The combination of hubs, central computer
reservation systems, and frequent-flier programs made the major airlines almost
invulnerable in large markets.
9.2 SAFETY
The crowding of airspace caused by increased air travel, crowded hub airports that create
security risks, and over-worked and sometimes poorly trained air traffic controllers. Yet,
statistically, passengers are no more likely to die in a plane crash since deregulation than
they were before it. Still, critics maintain that, despite the airlines' and the government's
efforts to assure the traveling public to the contrary, air safety is in need of substantial
improvements.
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HISTORY OF AIRLINE INDUSTRY
09 – 1980s & 1990s
1978 Airline Deregulation Act is signed into law, removing government control
over fares, routes and market entry
1980 Almost half of total flights worldwide took place in the U.S.
1981 11,400 air traffic controllers are fired by President Reagan after walking
off the job on strike when labor negotiations fail
1995 Boeing produces twin-engine 777, the first aircraft produced via
computer-aided design and engineering
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HISTORY OF AIRLINE INDUSTRY
CHAPTER
The Airline Industry Since 2000
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HISTORY OF AIRLINE INDUSTRY
10 – Airline Industry Since 2000s
Since 2000, the air transportation industry has faced several serious challenges. Airlines
The tragedy of September 2001 involving terrorist’s use of four aircrafts in the United
States and the rise of terrorists targeting airports has had serious economic
consequences on the industry. Other factors such as the SARS epidemic of 2003 and
Avian Flu have also had a negative impact. These factors, coupled with a serious
economic downturn, have resulted in the reduction of air travel.
However, despite these setbacks, experts are optimistic and predict growth of the airlines
industry for the next decade. The reasons for optimism include the potential economic
growth worldwide and the resulting increase in the disposable income, continued
deregulation and the on-going development of low cost carriers.
2007:- Airbus A380 enters commercial service capable of carrying 850 passengers
2011:- Airbus announces signing of the largest aircraft deal in history based on aircraft
ordered: 200 planes ordered by Air Asia
GrowthSofSworldSairStravelShasSaveragedS approximatelyS5%SperSyearSoverStheS
pastS30SyearsS
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