Archive · 26 Jul 2026
Alaska Airlines Retires Virgin America Brand
Alaska Airlines bought Virgin America for $2.6 billion in 2016.
Virgin America was known for its stylish cabins and modern features like seatback entertainment and in-flight Wi-Fi.
However, Alaska Airlines decided to retire the Virgin America brand just two years later.
They wanted to have one strong brand instead of two, which would help them save money and make things simpler.
They also focused on markets where they had a stronger position.
But even after retiring the brand, Alaska Airlines had to keep paying royalties to the Virgin Group until 2039, as ruled by a court.
Alaska Airlines acquired Virgin America for $2.6 billion in 2016.
Virgin America was known for its stylish cabins and modern features.
Alaska Airlines retired the Virgin America brand in 2018 to strengthen its own identity.
The retirement of the Virgin America brand led to a legal dispute over royalty payments.
Alaska Airlines had to continue paying royalties to the Virgin Group until 2039.
- Who
- Alaska Airlines and Virgin America
- What
- Alaska Airlines retired the Virgin America brand
- When
- 2018
- Where
- United States
- Why
- To strengthen its own identity and reduce costs
Alaska Airlines
Virgin Group
Brand Retirement
Alaska Airlines
Alaska Airlines believed keeping two brands would weaken its identity and increase costs.
Virgin Group
Virgin Group argued that Alaska should continue paying royalties even after retiring the brand.
- Acquisition Amount
- $2.6 billion
- Acquisition Year
- 2016
- Brand Retirement Year
- 2018
- Royalty Payment Period
- Until 2039
- Virgin America Founded
- 2007
- Virgin America Features
- Seatback entertainment, in-flight Wi-Fi, power outlets, modern cabin experience
- Alaska Airlines Fleet
- All-Boeing 737
- Virgin America Fleet
- Airbus A320-family