QF & NZ have played this very well, the blood bath started a while back and has since seen a few of the carriers cut back or pull out (eg: TG).
To the regulators this looks like there is a limited sustainability level and they will approve a tie up which will see less services and combined flights in larger aircraft on a code share basis.
Put this together with the news that Freedom will take all the rest of NZ’s A320’s and there’s the big picture.
Freedom & Jetstar get to fight over the mums and dads going to regional areas and off peak mainline.
QF & NZ do the mainline stuff that still gets business travellers that will operated during peaks to connect with other flights.
EK & Pblue get to keep them honest in whatever way they can. So in realistic terms the tie up does make sense…….. unless you’re a traveller