Will AI Wreck Air Travel?

26 snips

Jul 24, 2025

Airfare is undergoing a dramatic transformation as airlines utilize AI to personalize pricing, potentially penalizing solo travelers. Discover why this is the year to travel to Costa Rica with hot deals available. Learn about the surprising resurgence of one-way airfare penalties and how airlines are shifting their strategies. Kyle and Gunnar reflect on the airlines they've somehow never flown, inviting laughs and travel nostalgia. The discussion also tackles consumer protection against AI's impact on pricing, raising important ethical questions.

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INSIGHT

Airfare Pricing Is Rapidly Evolving

Airlines are rapidly moving from traditional fare buckets to AI-powered dynamic and personalized pricing.
This shift could drastically change how airfare is priced and impact fare transparency and deal-finding.

ADVICE

Strike Now for Costa Rica Deals

Book your trip to Costa Rica this year to catch unusually low flight and hotel deals.
Act quickly before airlines adjust capacity and reduce these deals.

INSIGHT

One-Way Flight Penalties Return

Airlines have reintroduced one-way fare penalties, charging more for one-way flights than half a round trip.
This trend targets business travelers who value flexibility and are less price sensitive.

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The world of airfare is changing before our eyes. Airlines have jacked up the price of one-way flights and targeted solo passengers with higher fares, too. And, more troublingly, carriers like Delta (and others) are now leaning on AI to set airfare … raising the prospect of personalized pricing. What does it all mean? Kyle and Gunnar break it all down on this week’s episode, telling you how airfare is changing, why, and who’s responsible. Plus, why this is your year to go to Costa Rica … and the airline that both Kyle and Gunnar are embarrassed to have never flown before.

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00:00 - Did AI write this intro?

01:08 - Should we be worried about AI-fueled airfare?

02:43 - Want to go to Costa Rica? Go this year (while deals are white hot)

06:25 - The surprising return of one-way airfare penalties

11:45 - Stay current on the news: Subscribe (for free!) to The Daily Beat email newsletter

13:00 - As AI enters airfare, how does airfare actually work right now?

19:30 - By penalizing one-way travelers and solo travelers, the airlines are shifting strategies…

22:25 - How Delta (& others) are actually starting to use AI to price flights

27:00 - What is Fetcherr? What they’re doing for Delta - and the article they didn’t want you to see

34:40 - What can we do to protect ourselves from AI? Are there any guardrails out there?

41:20 - Listener Question: Done with the Chase Sapphire Reserve card? What to pick up next?

46:10 - On the spot: What airlines have you not flown?

Produced by Gunnar Olson & Jackson Newman
Edited by David Strutt
Show music: “All That” by Benjamin Tissot

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