Airlines and airports in the Middle East and Africa (MEA) have significantly increased their technology investments over the past year, but uneven spending priorities are undermining the overall impact, according to a new industry report.

The Air Transport IT Insights 2025 study by SITA draws on surveys of 70 airlines and 370 airports worldwide. It comes as the aviation sector faces mounting challenges, including rising fuel costs, supply chain constraints, and geopolitical tensions.

The report shows that airlines in the MEA region are leading the push toward digital transformation. All surveyed carriers increased their IT budgets in 2025, marking the strongest commitment globally. By contrast, only 44 percent of airports in the region raised their technology spending, while 12 percent indicated plans to reduce investment.

This disparity is reflected in digital readiness. Around 69 percent of airlines in the region have established data platforms, compared with just 26 percent of airports—the widest gap recorded worldwide.

According to SITA, the lack of alignment between stakeholders is limiting the benefits of record technology spending. Without seamless data exchange between airlines, airports, ground handlers, and government authorities, operational efficiency gains remain constrained.

Globally, the aviation industry invested $50.8 billion in technology in 2025. However, fragmented systems and limited coordination continue to restrict returns. The report notes that the absence of real-time operational visibility hampers decision-making, increases costs, and reduces the ability to respond quickly to disruptions.

The financial impact is already evident. The International Air Transport Association estimates that delays alone cost the industry around $30 billion annually, a figure exacerbated by ongoing disruptions linked to conflicts in the Middle East and other global pressures.

Industry analysts say the findings highlight structural challenges in how aviation stakeholders approach technology investment. Airlines, which control their own operations and customer data, have been quicker to adopt advanced tools such as artificial intelligence and data analytics. Airports, however, operate as multi-user environments involving airlines, regulators, and service providers, making coordination more complex.

Selim Bouri, SITA’s president for the Middle East, Africa and Türkiye, warned that the divergence in investment strategies is a growing concern. He noted that traditional approaches, such as expanding airport infrastructure or increasing fleet size, are no longer sufficient to meet rising demand or manage increasingly complex disruptions.

While airlines are investing heavily in digital solutions to improve efficiency and sustainability, many airports remain focused on long-term physical expansion projects. This imbalance can create bottlenecks, offsetting gains achieved in the air with inefficiencies on the ground.

The report suggests that technology-driven solutions could deliver faster and more cost-effective results. Around 40 percent of airlines are already using AI-based tools to optimise flight routes and reduce fuel consumption, achieving savings of between three and 10 percent per flight.

However, the benefits of such innovations remain limited without system-wide integration. Currently, only about 20 percent of airlines and 40 percent of airports share operational data with key partners in real time.

Bouri attributed this to the complexity of the aviation ecosystem, where multiple stakeholders rely on different systems and data standards. While integration technologies are available, progress depends on coordinated investment and the adoption of common frameworks.

Efforts are underway to address these challenges through industry initiatives focused on standardising digital identity systems and data formats. Nevertheless, infrastructure gaps—particularly in developing regions—remain a significant barrier. More than half of airports worldwide still prioritise basic IT and telecommunications upgrades.

Financing constraints further complicate progress. Airport operators often depend on government funding and partnerships with airlines, leading to lengthy negotiations over cost-sharing arrangements. In regions with limited resources, this slows the pace of digital transformation.

Despite these challenges, the report highlights opportunities for emerging markets, particularly in Africa, to adopt modern, scalable technologies without the burden of legacy systems. By implementing modular and interoperable solutions from the outset, airports could accelerate returns while preparing for future growth.

In 2025, airlines globally allocated $36 billion to IT spending, representing 3.6 percent of revenue, while airports invested $14.8 billion, or 7.3 percent of revenue. Much of this funding is directed toward improving operational resilience, including real-time flight management, passenger processing, and customer service systems.

Artificial intelligence is becoming a central focus. The report finds that 63 percent of airlines already use AI in operations control for disruption management, aircraft allocation, and crew scheduling. A further 79 percent plan to prioritise generative AI technologies in the coming year.

However, SITA CEO David Lavorel said the next phase of digital transformation will depend less on new tools and more on connecting existing systems effectively. He emphasised that while the industry is investing heavily in AI, the lack of integrated data infrastructure remains the primary obstacle to maximising its potential.

Source: ZAWYA

Emirates and Real Madrid CF have agreed to extend their partnership until 2031, continuing one of the most high-profile sponsorship relationships in global football and reinforcing a collaboration that will span nearly two decades.

The airline has been associated with the Spanish club since 2011, with the partnership elevated in 2013 when Emirates became the official jersey sponsor. Under the renewed agreement, Emirates will remain the Official Main Sponsor and Official Airline Partner for both the men’s and women’s teams.

Its branding will continue to feature prominently on match jerseys, training gear, and staff apparel across major competitions, including La Liga, the UEFA Champions League, Copa del Rey, and the Spanish Super Cup. The renewed deal also secures the distinction of being the longest-running jersey sponsorship in La Liga history.

Beyond kit sponsorship, the agreement includes expanded brand presence at the Santiago Bernabéu Stadium, access to club training facilities, and continued use of the Emirates Lounge, a premium hospitality space designed for guests, partners, and customers. The collaboration also extends to Real Madrid’s youth system, supporting player development at grassroots level.

In addition, Emirates will maintain and deepen its involvement in basketball through a separate multi-year extension, under which it will serve as the Official Main Sponsor of Real Madrid’s basketball team until 2031.

Boutros Boutros, Executive Vice President for Corporate Communications, Marketing and Brand at Emirates, said the partnership reflects the airline’s long-standing engagement with football and its global fan base.

He highlighted that the collaboration has helped bring supporters closer to the sport through exclusive experiences and global fan engagement initiatives, while also strengthening Emirates’ presence in Spain.

Since launching its first flight to Madrid in 2010, Emirates has expanded its operations in the Spanish market, now operating five daily services across Madrid and Barcelona. The airline has also broadened its global connectivity via Dubai and introduced updated onboard products for passengers travelling to and from Spain.

Real Madrid President Florentino Pérez described the renewed agreement as a continuation of a strong and enduring relationship built over many successful years, noting the shared achievements between the two organisations.

Over the course of their partnership, Emirates and Real Madrid have collaborated on a range of marketing and fan engagement initiatives, including specially branded aircraft liveries, player-themed aircraft decals, matchday activations, and exclusive supporter experiences.

Emirates has also deployed dedicated aircraft for club-related charter operations, including Boeing 777 aircraft used for Spanish Super Cup travel between Madrid and Jeddah.

The airline maintains a broad portfolio of football sponsorships, which includes partnerships with Arsenal FC, AC Milan, Real Madrid CF, S.L. Benfica, and Olympique Lyonnais, along with a Platinum Partnership with FC Bayern Munich. It also serves as title sponsor of the Emirates FA Cup and supports the UAE Pro League.

Beyond football, Emirates’ global sponsorship strategy spans multiple sports, including tennis, rugby, basketball, sailing, cycling, golf, horse racing, cricket, and Australian Rules Football. The airline says its portfolio is designed to connect international audiences with major sporting events, clubs, and competitions worldwide.

Source: ZAWYA

Ethiopian Airlines has announced the introduction of a new direct passenger route linking Addis Ababa with Mauritius, scheduled to commence on 12 July 2026. The move is part of the carrier's broader strategy to strengthen connectivity across Africa and support economic and tourism growth throughout the region.

The new service will operate three times a week, offering direct connections between Ethiopia's capital and Port Louis, the capital of Mauritius. Flights are scheduled on Wednesdays, Fridays, and Sundays.

Under the timetable, flight ET887 will depart Addis Ababa at 8:50 a.m. and arrive in Mauritius at 3:20 p.m. The return service, flight ET886, will leave Mauritius at 4:15 p.m. and land in Addis Ababa at 8:45 p.m.

Prior to the launch of the nonstop service, Ethiopian Airlines connected passengers to Mauritius through interline and codeshare arrangements via regional gateways such as Johannesburg, Nairobi, and Antananarivo. The direct route is expected to shorten travel times and provide more convenient access for passengers traveling between Mauritius and destinations served by the airline's extensive network.

The airline said the new connection is designed to facilitate tourism, business travel, and trade while strengthening economic ties between Mauritius and other African markets.

“We are delighted to launch this direct flight service to Mauritius, making it easier for Africans and other international tourists to visit this beautiful African island destination, while also enhancing business and trade opportunities,” said Ethiopian Airlines Group CEO Mesfin Tasew.

He added that expanding the airline's African network remains a key priority, supporting its long-term objective of improving connectivity among African nations and strengthening links between the continent and the rest of the world.

According to Ethiopian Airlines, the route reflects its ongoing commitment to expanding intra-African air links through its Addis Ababa hub. The carrier expects the service to provide smoother onward connections across its African and international network while contributing to increased tourism and commercial activity between Mauritius and other destinations across the continent.

Bookings for the new route are now available through Ethiopian Airlines' sales and reservation channels ahead of the July launch.

Source: ZAWYA

Etihad Airways is placing additional orders for widebody aircraft as the Middle Eastern carrier prepares for increased operational activity, expecting flight volumes to rise by around 8% by June 15 compared with the same period last year, according to Chief Executive Officer Antonoaldo Neves.

Speaking on the sidelines of a global meeting of airline executives held in Brazil on Saturday, Neves said the Abu Dhabi-based airline is acquiring widebody jets in double-digit numbers. However, he did not provide further details regarding the exact size of the order.

He noted that Etihad is in the process of restoring flight services following reductions implemented in March, when regional instability linked to the U.S.-Israeli war on Iran contributed to higher fuel costs and operational adjustments.

Neves said the airline currently has no intention of reducing costs through further flight cuts, emphasizing that maintaining operational capacity is central to efficiency.

“The biggest cost we have is an empty plane,” he said. “So the way I cut cost is I don’t have empty planes.”

Source: ZAWYA

Jazeera Airways, the Kuwaiti low-cost carrier, has announced a seasonal fare promotion offering reductions of up to 30% on both one-way and return tickets across its international network.

The campaign runs from June 7 to June 13 and can be accessed using the promotional code J9SUMMER. Travel under the discounted fares is valid for journeys scheduled between June 15 and September 30.

According to the airline, the offer covers a wide selection of destinations across Europe, Türkiye, and other regions within its network, as part of efforts to tap into increased demand during the summer travel season.

A company representative said the promotion aligns with its broader seasonal campaign, “Don’t Just See the World. Feel It.” The initiative is designed to encourage passengers to engage more deeply with destinations by experiencing their culture, landmarks, and local atmosphere.

The spokesperson highlighted a range of featured destinations, including Prague, Tbilisi, Antalya, Salalah, London, Milan Bergamo, and Istanbul, describing them as key summer travel options for customers seeking diverse leisure experiences.

Destinations included in the offer span London Luton, Milan Bergamo, Prague, Budapest, Kraków, Sarajevo, Larnaca, and Tivat in Europe, alongside Turkish cities such as Istanbul (Sabiha Gökçen), Trabzon, and Antalya.

The airline stated that the promotion is part of its wider summer strategy to increase passenger volumes during the peak holiday period. It added that recent network expansion efforts continue to focus on leisure travelers as well as passengers visiting friends and relatives across the Gulf region and beyond.

Source: ZAWYA

Boeing is set to start construction of its next-generation production run of 737 Max aircraft on July 6 at a newly established final assembly line located north of Seattle, according to CEO Kelly Ortberg in remarks to CNBC on Friday.

Ortberg described the facility as a near-replica of the company’s existing Renton production line, noting that it will add capacity to Boeing’s manufacturing network. He said the first aircraft will enter the new line on July 6, marking the activation of what will become Boeing’s fourth 737 Max assembly line.

The Everett, Washington facility is expected to play a key role in lifting 737 Max output to 52 aircraft per month. That production level is anticipated to be reached next year. Boeing currently manufactures about 47 jets per month, following a gradual increase from 42 earlier in the year.

However, expansion remains subject to limits imposed by the US Federal Aviation Administration (FAA), which introduced production caps after a mid-air incident involving an Alaska Airlines flight in January 2024, when a door plug failure raised serious safety concerns. The incident triggered extensive regulatory scrutiny of Boeing’s manufacturing and quality control systems.

Ortberg said the company has focused on stabilizing production processes and improving consistency as output has increased over the past 18 months. He emphasized that Boeing has adjusted its approach by ensuring production systems are stable before increasing rates and avoiding the practice of pushing unfinished work along the assembly line, a problem identified in earlier operations.

Looking ahead, Boeing leadership has outlined a long-term production target of 63 737 Max aircraft per month, contingent on supply chain capacity and regulatory approval.

The new line will initially produce the 737 Max 10, a stretched variant of the single-aisle aircraft. The model is expected to receive certification from the FAA before the end of the year, paving the way for its first deliveries.

Source: CNBC