JetBlue founder David Neeleman has inked a major deal with Airbus as part of his vision to launch a new low-cost carrier in the US.
On Tuesday, Airbus announced they had signed a Memorandum of Understanding with a "future US airline." Airbus will deliver 60 A220-300 aircrafts beginning in 2021.
"After years of US airline consolidation, the conditions are improving for a new generation of U.S. airline to emerge, focused on passenger service and satisfaction," said David Neeleman, in a press release.
"The A220 will enable us to serve thinner routes in comfort without compromising cost, especially on longer-range missions. With deliveries starting in 2021, we will have ample time to assemble a world-class management team and another winning business model."
News of the venture was first reported last month in trade publication Airline Weekly, which identified the new carrier as Moxy Airways.
Along with Neeleman, the report named former Air Canada CEO Robert Milton and former ILFC CEO Henri Courpron as investors.
The Brazilian-American entrepreneur has a long history of founding successful carriers. Currently the co-owner of TAP Air Portugal, Neeleman also played a key role in the success of Southwest after it acquired his low-fare charter airline Morris Air and helped create Canada's WestJet and Azul Brazilian Airlines.
The A220-100 and A220-300 models are single-aisle aircrafts that seat between 100 to 150 passengers.