These two budget airlines just announced a major merger-Amazon's involved too

"Allegiant shared its plan to acquire Minneapolis-based Sun Country in a $1.5 billion cash and stock transaction, which is expected to close in the second half of 2026. Per the release, the merger will bring together a shared customer pool of nearly 22 million annual fliers across 175 cities and more than 650 routes. It will also give Allegiant access to Sun Country's multi-year partnership delivering packages with Amazon Prime Air, which Allegiant CEO Greg Anderson told CNBC was a major part of the deal."

"For small, low-cost air carriers, profitable business is a turbulent affair. According to October data from the U.S. Bureau of Transportation, a whopping 68.5% of total airline market share in the U.S. is cornered by four major companies: Delta, American, Southwest, and United. As those four powerhouses leverage their outsized financial power to battle it out over offering more and more premium perks for fliers, smaller companies are left struggling to keep up."

Allegiant plans to acquire Sun Country in a $1.5 billion cash-and-stock transaction expected to close in the second half of 2026. The combined carrier will serve nearly 22 million annual fliers across 175 cities and more than 650 routes. The deal grants Allegiant access to Sun Country's multi-year Amazon Prime Air package-delivery partnership, which Allegiant's CEO identified as a major part of the transaction. Sun Country shares jumped over 10% after the announcement while Allegiant's stock fell about 6%. Smaller low-cost carriers face pressure as four major airlines hold roughly 68.5% of the U.S. market.

Read at Fast Company