The Airbus A380 is a plane that has sadly been rendered rather obsolete by the ongoing pandemic.
However, even before COVID-19, the European manufacturer had already canceled its production
with around 250 jets built. Nonetheless, the A380 remains a fascinating aircraft
whose size draws attention wherever it goes. But how much did the ambitious superjumbo cost?
Developing an aircraft as large as the A380 was always going to be an expensive task for Airbus.
As well as physically building the aircraft, the program would also demand a lot in terms
of research and development. When Airbus voted to launch the
A380 program in 2000, its projected cost was €9.5 billion ($11.3 billion). However, as the
company got further into the development of the aircraft, the costs of the program grew. Indeed,
it reached a point where, in 2006, Airbus elected to cease publishing the program’s reported cost.
At this stage, the figure had reached a total of €10.2 billion ($12.2 billion). A decade later, by
2016, the European manufacturer re-estimated that the A380 program had cost around $25-30 billion.
This was despite receiving €3.5 billion worth of loans from the UK, France, and Germany in 2000.
Alongside the cost of the A380 program itself, it is also worth considering what airlines had to pay
to get their hands on the superjumbo. During its production, the double-decker quadjet was
listed for $445.6 million. This is somewhat higher than the Boeing 747 family aircraft.
When production of the Boeing 747-400 ceased in 2007,
its list price was around $228 million (or $289 million in today’s terms).
Meanwhile, the next generation 747-8 has a list price of $418.4 million.
Of course, it’s worth remembering that airlines rarely pay these list prices. Instead,
by placing larger orders for multiple aircraft, they can score a fairly generous discount. Indeed,
Airbus claimed in 2019 that its customers received an average discount of 50% off its list prices.
The aircraft also had a price for airports wanting to accept it. Approximately 30% larger than the
Boeing 747-400, this meant that airports had to make modifications for the enormous jetliner.
These modifications included longer and wider runways and taxiways,
more gate space, and more jet bridges. These costs quickly added up for airports and authorities.
For example, the Port Authority of New York & New Jersey
is said to have made $175 million worth of infrastructure alterations for the aircraft.
While the aircraft may have been a loss-maker, retiring it also poses financial difficulties
for airlines. Indeed, for Air France, the carrier announced in February 2020 that to withdraw its
A380 fleet would cost it in the region of €370 million ($399 million at the time).
Overall, it is a shame that the amount invested in the aircraft and related infrastructure changes
did not fully pay off in the long run. Nonetheless, it seems that the traveling
public will be able to enjoy the presence of the type’s existing units for some time yet. Indeed,
Emirates President Sir Tim Clark plans for his airline to fly the A380 until the mid-2030s.
Were you aware of the costs associated with the A380 program?
Are you at all surprised? Let us know in the comments.