While yesterday in court [see box] saw corporate warfare at its worst between arch rivals, Airbus and Boeing, the playing field is soon to get even more interesting with the latter planemaker readying its 747-8 Intercontinental airliner to rival the opulent A380.

Last week, Boeing successfully completed its first flight of the 747-8 Freighter. Its 747-8I will follow in its sibling's path, with lengthened fuselage, redesigned wings and improved efficiency.

A fitting rival?

Officially announced in 2005, the passenger version will be capable of carrying up to 467 passengers in a three-class configuration, across nearly 15,000km. The 747-8I will carry 51 more passengers and two more freight pallets than the 747-400.

Critics say, the Paris-based Airbus A320 still maintains the lead with a range of 15,200km, and a capacity of 550 passengers. However, new engine technology and modifications will allow the 747-8I to fly non-stop on routes such as Hong Kong-New York, Sydney-Houston or Buenos Aires-Dubai.

In November 2009, development glitches forced Boeing to delay the 747-8I first delivery from late 2010 to the second quarter of 2011.

Jim McNerney, Boeing Chief Executive, at the time blamed the delay on softening demand in the cargo market. Boeing has slowed the pace of 747-8F deliveries, which means the first 747-8I cannot be inducted into final assembly until later.

Reports say, Lufthansa was the first airline to order 20 747-8Is, followed by seven solitary VIP orders. In December 2009, Korean Air announced an order of five 747-8Is. The unit cost of a 747-8I can range between $293 million (Dh1.07bn) and $308m, while the A380 ranges between $317m and $337m.

Designer digs

Initially, Boeing had proposed creating a revenue-generating SkyLoft passenger facility in the crown – the space above the passenger cabin, used for AC ducts and wiring. This facility would have included SkySuites, encompassing individual compartments with beds. Boeing had proposed smaller, more modest SkyBunks. However, pricing feasibility studies found the SkyLoft concept difficult to justify. In 2007, Boeing dropped the concept to make way for galleys and crew rest areas. (with inputs from Bindu Suresh Rai)

The court drama

A six-year-old clash pitting US aerospace giant Boeing against arch rival Airbus had reached its climax yesterday as The World Trade Organisation was scheduled to issue a landmark ruling.

No victor had emerged at time of going to press. Another ruling on a counter-complaint brought by the EU against US aid for Boeing is expected later this year, suggesting that the jury remains out on who might have won the overall dispute, analysts said.

"We can expect no answer for this commercial battle in the next few years," said analysts from French investment group CM-CIC Securities. "In fact, the preliminary report of the WTO on the counter-complaint, which was brought by the EU against the US is expected by June."

The outline of the ruling on the first US complaint was issued confidentially in September in the form of an interim ruling by the WTO panel.

The difference in the reading of the interim report was borne out over European aid to Airbus' future A350 airliner.

Germany said it was ready to grant a €1.1 billion (Dh5.4bn) loan to develop the Airbus A350 long-haul passenger aircraft after preconditions were met, suggesting the conditions were in line with WTO rules. Boeing however slammed the move for flouting WTO legislation.

In the case filed in 2004, Washington charged that the EU illegally provided subsidies of $200bn to Airbus. On the same day, the EU retaliated with a complaint against Washington's help to Boeing, accusing Washington of violating international trade rules by funnelling $23bn in subsidies to civil aviation through military research funds. (AFP)