Delta Air Lines has signed a deal with Saudi Arabian startup Riyadh Airways to become its exclusive partner in North America.
Under a memorandum of understanding signed by the two companies in Atlanta on Tuesday, the two airlines aim to become interoperable and codeshare partners and forge a closer partnership that includes loyalty and customer experience benefits, collaboration on digital transformation, and a broader range of aviation services such as maintenance and repair.
The airlines also plan to explore forming an antitrust exemption and joint venture partnership for flights between the U.S. and Saudi Arabia, and as part of that agreement, Delta plans to eventually launch service to Saudi Arabia.
“This partnership with Riyadh Airways further advances Delta’s mission to connect the world and opens up a range of new choices, benefits and destinations for customers traveling to and from Saudi Arabia,” Delta Air Lines CEO Ed Bastian said in prepared remarks.
State-owned Riyadh Air plans to enter service in 2025. The company has so far ordered 39 Boeing 787-9 widebodies and has options for 33 more. CEO Tony Douglas said the initial narrowbodies order was pending.
According to an ambitious timeline laid out by Saudi Crown Prince Mohammed bin Salman when he announced the airline's launch in March 2023, the airline aims to connect Riyadh to 100 destinations worldwide by 2030.
The launch of Saudi Arabia's Riyadh Airways is part of an $800 billion investment to boost the country's tourism economy.
