Jerusalem, 15 October, 2026 (TPS-IL) — Artificial intelligence is transforming Arkia’s operations but will not lower airfares, Chief Executive Officer Oz Berlowitz said Thursday at the 2026 Israel Information Technology Conference in Tel Aviv.
Berlowitz also questioned whether passengers would accept pilotless commercial aircraft, despite the technological possibility.
Berlowitz said the airline had reduced its workforce by approximately 20% through AI adoption, particularly in customer service and communications, without compromising service quality. However, he stressed that fuel costs remain a far more significant factor in ticket pricing than technological efficiencies.
“AI will revolutionize things, but it won’t make flights cheaper,” he said, adding that fuel prices have the greatest impact on the industry.
He discussed operational challenges facing Israeli aviation, including delays in launching Arkia’s Tokyo route because of difficulties securing landing approvals, while noting that the airline had doubled its flights to Hanoi, Vietnam.