Star Alliance Goes All-In on AWS to Invent the Next Era of Air Travel

Rhea-AI Summary

Amazon Web Services (AWS) announced that Star Alliance is migrating its entire IT infrastructure to AWS, aiming to reduce costs and enhance operational flexibility. By moving to the cloud, Star Alliance expects a 25% reduction in total cost of ownership and a 30% decrease in infrastructure expenses during the COVID-19 pandemic. The transition enables faster application development and improved customer services, including real-time baggage tracking. AWS's extensive cloud services will allow Star Alliance to innovate and adapt to changing travel demands, enhancing customer experience and operational resilience.

Positive

• Star Alliance expects a 25% reduction in total cost of ownership by migrating to AWS.
• Achieved a 30% decrease in infrastructure spending during COVID-19 by scaling AWS usage.
• Enhanced customer services like real-time baggage tracking and streamlined check-in processes.
• Faster application deployment, allowing quicker responses to travel demands.

Negative

• None.

Today, Amazon Web Services (AWS), an Amazon.com, Inc. company (NASDAQ: AMZN), announced that Star Alliance, the world’s largest airline alliance, is going all-in on AWS, moving all of its IT infrastructure to the world’s leading cloud to reduce costs, enhance performance, and become a more agile company in the cloud. Star Alliance is working with Tata Consultancy Services (TCS) – an AWS Partner Network Premier Consulting Partner – to migrate all of its data, platforms, and business-critical applications to AWS and close its data centers, which will reduce its infrastructure total cost of ownership by 25%. The airline alliance is using AWS’s unmatched capabilities, including analytics, security, managed databases, storage, and machine learning, to provide its 26 member airlines with real-time insights that will help improve the global travel experience for their passengers, even with the uncertainty brought on by the COVID-19 pandemic.

By migrating to AWS, Star Alliance has gained the agility to immediately optimize its existing infrastructure use and costs to meet the changing demands around worldwide air travel, especially in response to COVID-19. When quarantine orders and travel restrictions went into effect, the company instantly reduced its infrastructure footprint and spend by 30%, scaling down its use of AWS rather than paying for excess on-premises capacity. By running on AWS, Star Alliance is setting itself up for the future when global travel restrictions begin to ease and customers resume flying regularly. The organization is now able to introduce applications in half the time, leveraging Amazon Elastic Container Service with AWS Fargate (a serverless compute engine for containers that makes it easy to build applications) to power services that make travel easier and safer for passengers. For instance, Star Alliance created a baggage tracking application that uses Amazon Aurora (AWS’s relational database built for the cloud) to process data from multiple airline baggage systems, delivering operational dashboards and centralized reporting so that airline customer service agents can track bags at airports around the world. In addition, the “Star Alliance Inter Airline Through Check-in Hub” application – an application that processes and analyzes more than 12 million transactions per month during peak periods and runs on AWS – makes the check-in process seamless for travelers by enabling passengers to check-in and receive boarding passes for multi-stop journeys across Star Alliance member airlines.

By becoming a data-driven organization in the cloud, Star Alliance is using AWS analytics and databases, including Amazon Relational Database Service (Amazon RDS), Amazon Athena (AWS’s serverless, interactive query service that uses standard SQL), and Amazon QuickSight (AWS’s business intelligence service), to identify future travel demand and trends, as well as improve customer experiences. The Alliance’s Transfer Decision Tool helps its member airlines manage at-risk flight connections in real time so that they can take proactive action – such as fast-tracking a passenger through customs and immigration – to quickly transfer customers and their baggage to a connecting flight. This tool complements the Alliance’s new Connections Service (a mobile app that guides travelers with the fastest path to their departure gate and unlocks airport Fast Track lanes when connections are tight), providing a faster, contactless airport experience. In addition, by migrating its legacy databases to Amazon Aurora, Star Alliance is enabling its members’ customer service teams to make quick, informed decisions that help them process frequent flyer reward requests faster and take passenger preferences into account to provide personalized travel experiences. Moving forward, Star Alliance plans to create a data lake on Amazon Simple Storage Service (Amazon S3) that will centralize data access for member airlines to accelerate the development of enterprise applications and customer features. Star Alliance will then be able to apply AWS machine learning services, such as Amazon SageMaker (AWS’s service that enables data scientists and developers to build, train, and deploy machine learning models quickly), to the consolidated data to add value like preventing loyalty-related fraud across the members’ frequent flyer networks.

“We decided to go all-in on AWS to gain the reliability and scalability we needed to support the increasing number of global travelers joining the alliance each year, but the pandemic also proved how valuable it is to have a flexible and agile infrastructure in the cloud. No one could have predicted what has happened so far in 2020, but because of our collaboration with AWS, we were able to quickly adjust our goals and scale back our expenses,” said Jeremy Drury, Head of Digital & Technology at Star Alliance. “In addition to cost savings and elasticity, AWS gives us the most comprehensive set of cloud services to innovate rapidly, introduce new services to keep travelers safe, and continuously reinvent the global travel experience.”

“By going all-in on AWS, Star Alliance is leveraging the elasticity of the cloud to take advantage of industry trends and pivot their operations in order to respond to drastically changing market dynamics,” said David Peller, Managing Director, Travel and Hospitality at Amazon Web Services. “Star Alliance is a prime example of a global organization that has successfully embraced the cloud to steer through times of uncertainty. As the world anticipates opening up again, we are excited to work with Star Alliance as they leverage AWS’s comprehensive suite of services to innovate new offerings at scale while raising the bar for what is possible for the next era of global air travel.”

“The global pandemic has reinforced the need for the travel industry to embrace new technologies that improve their operational resilience, business agility, and responsiveness to evolving customer needs and local regulations,” said Arun Pradeep, Head, Travel, Transportation and Hospitality, Europe, TCS. “Having accelerated Star Alliance’s IT transformation on AWS, we are now helping them maximize value by harnessing capabilities around advanced analytics and machine learning to deliver higher levels of personalization and superior customer experiences.”

About Amazon Web Services

For 14 years, Amazon Web Services has been the world’s most comprehensive and broadly adopted cloud platform. AWS offers over 175 fully featured services for compute, storage, databases, networking, analytics, robotics, machine learning and artificial intelligence (AI), Internet of Things (IoT), mobile, security, hybrid, virtual and augmented reality (VR and AR), media, and application development, deployment, and management from 77 Availability Zones (AZs) within 24 geographic regions, with announced plans for 18 more Availability Zones and six more AWS Regions in Australia, India, Indonesia, Japan, Spain and Switzerland. Millions of customers—including the fastest-growing startups, largest enterprises, and leading government agencies—trust AWS to power their infrastructure, become more agile, and lower costs. To learn more about AWS, visit aws.amazon.com.

About Amazon

Amazon is guided by four principles: customer obsession rather than competitor focus, passion for invention, commitment to operational excellence, and long-term thinking. Customer reviews, 1-Click shopping, personalized recommendations, Prime, Fulfillment by Amazon, AWS, Kindle Direct Publishing, Kindle, Fire tablets, Fire TV, Amazon Echo, and Alexa are some of the products and services pioneered by Amazon. For more information, visit www.amazon.com/about and follow @AmazonNews.

About Star Alliance

The Star Alliance network was established in 1997 as the first truly global airline alliance, based on a customer value proposition of global reach, worldwide recognition and seamless service. Since inception, it has offered the largest and most comprehensive airline network, with a focus on improving customer experience across the Alliance journey. The member airlines are: Aegean Airlines, Air Canada, Air China, Air India, Air New Zealand, ANA, Asiana Airlines, Austrian, Avianca, Brussels Airlines, Copa Airlines, Croatia Airlines, EGYPTAIR, Ethiopian Airlines, EVA Air, LOT Polish Airlines, Lufthansa, Scandinavian Airlines, Shenzhen Airlines, Singapore Airlines, South African Airways, SWISS, TAP Air Portugal, THAI, Turkish Airlines, and United. Overall, the Star Alliance network currently offers more than 12,000 daily flights to almost 1,300 airports in 197 countries. Further connecting flights are offered by Star Alliance Connecting Partners Juneyao Airlines and THAI Smile Airways. www.staralliance.com

View source version on businesswire.com: https://www.businesswire.com/news/home/20201214005174/en/

FAQ

What is the significance of Star Alliance migrating to AWS for AMZN's stock?

Star Alliance's migration to AWS could enhance AMZN's revenue through increased AWS adoption, demonstrating cloud service reliability.

How will the move to AWS impact Star Alliance's operational costs?

The move is expected to reduce operational costs by 25% and infrastructure spending by 30% during the pandemic.

What applications is Star Alliance developing with AWS?

Star Alliance is developing applications for baggage tracking and check-in processes, improving customer experiences.

How does AWS support Star Alliance during COVID-19?

AWS provided scalability and flexibility, allowing Star Alliance to adapt operations and reduce costs amid changing travel restrictions.

What future plans does Star Alliance have with AWS?

Star Alliance plans to implement a data lake on Amazon S3 to centralize data access for its member airlines.