The fact that the collusion (i.e. "co-operaration" on fares, scheduling and capacity) between QF and BA has the approval of the ACCC does not make it any less collusion.
All things being equal when you have dominant players such as these two, in priviledged positions (e.g. their slots and gates at each end of the SYD-LHR route) you'll get fewer seats and higher costs than would otherwise be the case. The ACCC has thus far felt that this was not too unacceptable. But it is still collusion, unless we're all happier with a nicer word that means the same thing.
But....the "Qantas has 37 competitors" line has long passed its used by date. On domestic routes, anyone of us could raise some money, buy an old 737-300 and start services within 6 months against
VB. Only need an AOC. No other permission required.
But is that true on any (or at least most) international routes? If indeed QF are that competitive then open up the skies SYD-LAX or if they don't like that, leave the SYD routes and allow everyone else free access in and out of Australia from every other capital.
A few years ago, 1985 I think, the Bureau of Transport Economics (or whatever it was called then) produced a draft report which found that the net deadening effect of Qantas' monopoly position was so great that Australia (i.e. consumers and the toursim industry) would be better off in total if it were abolished and a true "Open Skies" policy established. That draft never did get published in that form...QF lawyers made sure it got a substantial re-write...but the truth of the anti-consumer effect of monopoly which was true then, remains true now.
No-one seriously would want QF to fall over. They're not going to, most probably at least. But lets remember that the industry world wide was built by weird egomanic mavericks like Reg Ansett, Branson, Laker, Howard Hughes, Juan Trippe etc etc. People who dreamed and argued and harangued and probably lied and cheated too, to get their own way. Competition means taking on the top end of town and that, if there is one big lesson from deregulation, is what builds change and jobs.
I don't work for
VB, never will. But I fly on them a lot and am very glad they're there. If some Sydney journos have had too much free booze on QF to look outside the window and see the real world being rebuilt daily by visionaries, however flawed, then that's their loss. The public can see, and as Emirates has shown internationally, and
VB domestically, will vote with their feet.