Boeing’s 777X problem: Shifting market, lagging economics, softening order book
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October 28, 2019 - by Judson Rollins for leehamnews.com
The Boeing 777X's lackluster sales to date put it in a similar light as the soon-to-end A380 program. Is the era of the 400+ seat aircraft turning onto final approach?
There are only 344 777Xs on firm order at present. As many as 59 of these orders are soft.
The aircraft has been available for sale since May 2013, during a period of near-record global airline profitability.
This calls into question the market viability of the 777X – and whether Boeing will ever break even on the program.
- VLA demand is limited; Airbus's forecast seems overly optimistic.
- 777X order book is concentrated on just a handful of customers.
- Middle East carriers account for two-thirds of 777X orders.
- Inferior economics limit the 777-8 to a narrow niche like the 777-200LR.
- 777-9 economics outweighed by trip cost risk, lower yield of marginal seats.
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