If Elon Musk were to seriously consider buying a major airline, Ryanair might not be the fantastical choice critics would expect.
The Irish ultra-low-cost carrier isn’t just cheap on ticket prices; it’s one of the most profitable and operationally robust airlines in the world. Musk has the capital and appetite for investments that no one else thinks are obvious, and Ryanair’s position in global travel, combined with structural shifts in aviation and Musk’s own management style, make this a compelling, under-the-radar strategic play.
A Global Travel Powerhouse That’s Cheap To Buy
Ryanair doesn’t sit at the very top of every global airline ranking, but by key objective measures it is among the largest and most important players in global commercial aviation. The airline operates hundreds of aircraft and serves over 180 million passengers per year, making it the largest airline in Europe by passenger traffic and a consistent fixture among the top global carriers by fleet and utilization. For comparison, Ryan Air’s passenger volume is third globally after American and Delta, but places the carrier ahead of United, Southwest, and Lufthansa rounding out the top 6.
Unlike legacy carriers that struggle with bloated fleets and high labor costs, Ryanair is ruthlessly efficient, flying an all-Boeing 737 fleet with one of the lowest unit costs in global aviation. That operational simplicity isn’t a gimmick, it modeled this competitive advantage on Southwest and that efficiency turns volume into profits. Ryanair’s most recent results showed robust revenue growth and an outsized profit jump, with net profit climbing significantly alongside rising passenger numbers.
From an investment perspective, Musk is uniquely positioned to consider an airline purchase most billionaires and conglomerates would dismiss outright. He has the capital to take a significant stake or even full control and the operational experience to wring additional value out of a business that thrives on efficiency.
As a percentage of Musk’s total paper wealth (between $686bn and $780bn depending on how xAI and SpaceX are valued), the purchase would insignificant. At the current market cap (he’d no doubt have to pay a premium) Ryan Air would come in between 4.48-5.1% of his paper net worth. For context, this would be equivalent to a paper millionaire (home equity, investments, cash-on-hand, assets) buying a car between $45,000 and $51,000 – the average sticker price for a new car in the United States.
Profitability and Operational Efficiency: A Musk Playbook Fit
One of the striking lessons from Musk’s “stewardship” of X (formerly Twitter) is that efficiency can unlock profitability even in businesses under advertiser pressure. Despite a significant backlash and advertiser exodus tied to his personal political positions, X posted nominal profits above when Twitter was publicly traded on far less revenue because Musk slashed costs and refocused the business. This wasn’t a victory of growth, but of ruthless cost control and operational streamlining.
Ryanair’s entire model is predicated on that same principle: abrasion over accommodation & efficiency over frills. Musk isn’t known for turning benign businesses into charitable ventures though not every business has turned to gold (SolarCity – as an investor, The Boring Company, and Neural Neuralink have yet to experience the runaway success of Tesla, SpaceX, and Paypal.) Ryanair’s costs are already among the lowest in the industry, but Musk’s experience at scaling efficiency (from Tesla’s factories to cost restructuring at X) could well unlock incremental profitability through better digital systems, dynamic pricing technology, or even data-driven route optimization beyond current practices.
Obviously, there are limits to how much efficiency can be wrung out of an airline. Aviation is fundamentally constrained by crew costs, airport relationships, and regulatory frameworks. But Musk’s track record is not one of settling for the status quo, especially where data and automation can change outcomes.
But Musk wouldn’t have to radically alter the current business. His investment would return an estimated $4bn annually if based on last year’s figures. There’s also a possibility for growth outside of its core market.
Strategic Timing: Soft ULCC Market Meets European Dominance
The timing for a bold move into airlines is curious. In the US ultra-low-cost carrier (ULCC) segment, Spirit Airlines has struggled mightily through multiple bankruptcy proceedings, and Frontier is battling its own headwinds despite consolidation plays. The US ULCC market suddenly looks like a land of unmet demand and unstable players, a space ripe for competition from a well-capitalized, efficient global actor.
Bringing Ryanair to the US could leapfrog rudderless legacy attempts to serve the budget segment. Musk’s involvement could shake investor confidence into a fractured ULCC market and potentially draw fare-sensitive travelers away from sputtering domestic competitors.
Simultaneously, Ryanair’s European dominance is thriving. The airline just posted milestone passenger figures and continues aggressive capacity expansion with new Boeing deliveries and new routes. The world’s biggest ULCC isn’t resting on its laurels, and the potential for a transatlantic push under Musk’s banner fits perfectly with a strategy of global scale over regional niceties.
More likely, if Musk was serious, he could buy Ryanair and its existing profitable business model and toss Spirit in the mix for likely less than a billion more and for that matter, grab Frontier too which has a market cap of $1.21bn as of last close. Either carrier two would provide a front door entrance to the market with an active Airline Operator’s Certificate (AOC) and, frankly, Spirit, Frontier, and the DoT. For less than 6% of his paper net worth he could amass the largest carrier in Europe, the fifth largest in the US, and xith largest (by fleet) globally.
As cosy as Musk has been with the Trump Administration, he’s had issues with Department of Transportation head, Sean Duffy., While the administration might step in to make them play nice to save Frontier and Spirit from cutting jobs and driving up prices (by their ultimate demise), Duffy could pose some hurdles to Musk entering the US air transportation market.
Similarly, the EU may bristle at Musk’s purchase regardless of whether it’s the best outcome for shareholders and travelers.
Fixing Ryanair’s Tone Without Breaking the Model
One of the most polarizing parts of Ryanair’s brand is its comically combative customer posture. Michael O’Leary is famous for antagonistic press lines and a take-no-prisoners approach to ancillary fees, seating politics, and public statements. But here’s the reality: people fly Ryanair because it is cheap, reliable, and functional. Those qualities don’t require hostility to customers.
A Musk-led Ryanair could decouple the cost-based value proposition from the abrasive brand persona. Simple improvements in digital experience, customer communication, and loyalty incentives could build brand goodwill without sacrificing unit economics. The airline’s core value: low fares, is sacred; everything else is negotiable.
Under Musk, Ryanair doesn’t need to become a boutique airline. But showing that world-class efficiency can coexist with a friendlier customer experience could dramatically expand market share and reshape industry expectations for ULCC carriers everywhere.
More Than Could, Why Musk Should Buy Ryanair
Ryanair doesn’t need a rescue and isn’t in need of repair. But what Musk could do if he bought Ryanair is use the brand, experience, and profit to bring a successful version to other markets. Other auto manufacturers had made electric cars before Musk, but Tesla made them mainstream and built an auto brand from scratch. Others had built rockets but no one had done so with reusable, self-landing boosters and lowered the exorbitant cost of launches. Others had built satellite constellations for radio, telecom, and navigation, but none had brought the speed up and cost down in the same way. Even at PayPal (the original X.com), it wasn’t the first way to send payments online, it just became the largest and best method.
Conclusion
Elon Musk buying Ryanair probably won’t happen, but given Musk’s history of starting massive business decisions on a humorous lark, it has to be given at least some gravity. Ryanair is already a behemoth in European travel and a globally relevant airline group with strong profitability and fleet growth. Musk’s operating style aligns with efficiency, engineering solutions, and unconventional thinking, making him an unlikely, yet logically consistent, suitor. With the ULCC market in the US under strain, a Europe-to-North America play makes strategic sense. And fixing the airline’s rough edges could turn a low-cost phenomenon into a global low cost-leader without sacrificing its financial DNA. It’s not likely to happen, but for the sake of the ULCC market in the US, maybe it wouldn’t be the end of the world. All that’s left is for Musk to find someone called “Ryan” to run it.
What do you think?
I know, the law is a concept not known by many Americans. But please note that the majority of shares needs to be held by citizens of the country which issues the operating license to the airline in order to not loose their international routes. And since I cannot imagine that Elon will give up his hard fought for US citizenship to become Irish (or any other nationality of the EU) this is a discussion is just PR by him.
I bet he could buy it from Malta or Portugal…people like that don’t play the rules you and I must play by.
Yes, Musk buying companies and ruining them is definitely within his financial power. Since I like Ryanair and don’t want them to turn into dog***t like everything else Musk infects with his unique stupidity, let’s all hope this never happens.
Forgive if I’m incorrect, but shouldn’t Elon be prepared to spend money on connectivity for Ryanair? Wasn’t that what triggered this X spat? Spending money doesn’t feel very Elon like.
Billionaire impulsivity and their tantrums. What are you to do?
I tire of the existence of this idiot Elon. No benefit has been produced by him that is not offset by an equal or greater deficit. He’s a walking throbbing middle finger and making will ultimately be worse off for his wide ranging influence.
Is the author of this piece aware that the majority of shares in Ryanair are owned by the Ryan family and O’Leary enjoys their full support. Musk as usual is venting from his rear cavity and there are those who believe him and in turn vent from theirs.
It’s also comical to suggest that Elon will somehow improve upon Ryanair’s “comically combative customer posture.”
What element of his personality suggests he will do that?
Hiring Musk to decouple a company from its “abrasive brand persona” is like hiring Casey Anthony to advise on parenting techniques.
Elon Musk should buy Ryanair and have them install satellite wifi. Maybe also order some 787-9 or A330-800neo
Oh please, stop fanboying and keep those filthy paws off of a functioning airline. If you want Musk to nosedive yet another company, let him buy Spirit. They already got a head start.
…And suddenly, Ryanair started to look appealing. Get ready for the next possible step!
As soon as Elon buys Ryanair, Ryanair would immediately be known as, “Nazi-air”.
He could.
He shouldn’t.
As with Twitter, Ryanair represents a category of business Musk has no experience with.
But experience says that there’s no reason that Musk would let himself be stopped by that mismatch.
But the fastest way to make a lot of money on Easyjet and WizzAir stock is to make sure you’re holding their stock if Musk takes over Ryanair, because there’s no scenario where he doesn’t destroy Ryanair by taking it over.
“the US, and xith largest (by fleet) globally.”
What is this word: “xith”?
Couple of thoughts on this subject:
1) The majority shares of Ryanair are owned by O’Leary or his family. Thus, it could only be sold to Musk if they want to sell. And it is possible that this could all be a ploy to sucker Musk into buying it.
2) If Musk were to buy Ryanair, it would not go well. The majority of the passengers who do fly Ryanair are people who despise Musk and that would not bode well for the airline.
remember the old joke, how do you become a millionaire? start with a billion and buy an airline.
I guess the joke need an updating for Musk to a trillion..
This is embarrassing and confirms everyone’s prior understanding of your politics.
The assertion that Musk would show “that world-class efficiency can coexist with a friendlier customer experience” is laughable.
Why Elon Musk should grow the f up.