Major changes at Southwest Airlines include assigned seats, premium legroom, and red-eye flights

Southwest Airlines is making strategic changes to improve the customer experience, strengthen financial performance, and drive shareholder value. The plan includes significant changes, including shared seating, paid seating options, and the introduction of red-eye flights.

“Moving into shared space and offering premium legroom options will be a transformative change in nearly every aspect of the Company,” said Bob Jordan, president, CEO, and vice chairman of the board, in a statement. “While our unique open-seat model has been a part of Southwest Airlines since our inception, our thoughtful and extensive research makes it clear that this is the right decision—at the right time—for our customers, our People and our Shareholders.”

What changes can we expect?

Seats assigned: Southwest will move away from its open-seat model and offer seats on all flights. This decision follows extensive customer research and performance testing.

Premium accommodation options: About one-third of the seats will have extended legroom, in line with industry standards. The change is part of Southwest’s broader modernization efforts, which include upgrades such as faster Wi-Fi, in-seat power, and larger overhead bins.

Red-eye flights: Southwest is introducing red-eye night flights starting on Valentine’s Day 2025. These first routes will connect Las Vegas, Los Angeles, and Phoenix with Baltimore, Orlando, and Nashville. This 24-hour operation is expected to generate additional revenue and cost savings, which will allow Southwest to expand without purchasing additional aircraft.

More details to come

The airline will provide more details on the plans, including product designs and financial implications, during Investor Day in late September. The company expects the transition to assigned seats and premium fares to be seamless and aims to start bookings in 2025, pending the necessary regulatory approvals.

Shares of Southwest Airlines stock fell more than 5% in premarket trading Thursday following the news.

Founded in 1971, Southwest Airlines is the only major US airline that is also a low-cost airline. It will operate at 117 airports in 11 countries as of August 5. The airline announced in April that it would suspend operations at four US airports, in part because of delays in Boeing aircraft deliveries.