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Originally Posted by ILUVSAT
Let's face it...there is no way in the current environment that AUS will ever become a Hub. Thus, it is doomed to be mostly an O&D airport forever (possibly).
However, that does not mean that it cannot grow into a major air service center. Look at MCO and TPA as simple examples.
I know...MCO is a stretch. But, it is an O&D airport! Extremely few transfer at MCO!
Since legacy airlines are no longer creating new hubs, airports like AUS and SAT have to work harder for new services. At this point, AUS seems to have the better opportunity to grow (between the two in central Texas).
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With AA and UA under 200 miles from Austin, there would have to be a new airline starting service, but with all the mergers and whatnot, it's unlikely Austin will become a giant hub like DFW or IAH.
However, at the moment the big three only fly out of AUS into their hubs (AA won't fly between two nonhubs), meaning those airlines will only serve Austin into bigger airports. Airlines such as Southwest (and recently Frontier) fly where there is demand, regardless if the route is between two non-hubs (though Southwest has no real "hubs" anyways). It doesn't mean the big three won't ever fly routes between non-hubs. I found an article somewhere about Austin starting
Delta Connection service to Kansas City (route terminated), which wasn't ever a base for Delta last I checked. I also think AA flew to Seattle once.
There are basically two possibilities; Austin will serve as a hub for a smaller airline (think of Virgin or Midwest (defunct)), and/or become a focus city for a major airline if said airlines want to
compete on routes that don't connect Austin with one of their bases. I believe Boston Logan is a good example; Delta has a size-able presence there to a dozen cities, yet Boston isn't considered a "hub" for Delta, at least relative to say, JFK or Atlanta.
The same could happen for SAT as well, although not as soon as AUS.