The problem is that Gulf carriers already offer a premium product with lower costs and will likely still provide strong competition. In addition to the direct service offered by the new airline, its fares will need to be very competitive.
Moreover, it is limited in its scope. The Lufthansa Group's "Wings" point to point platforms will eventually account for 25% to 30% of the Group's narrowbody aircraft, under current plans. This is a significant proportion of its short/medium-haul business, although it can be argued that it is still not enough and that Germanwings' cost base is not low enough compared with other European LCCs.
By contrast, the planned seven aircraft in the new point to point long-haul operator represent only 5% of the Group's widebody fleet. It seems that Mr Spohr cannot ignore the constraints imposed by maintaining the core product's premium branding and by the labour agreements in the core operation.
As a new CEO, Mr Spohr has a window of opportunity to effect real and lasting change. He has shown that he understands this, but may need to be more ambitious - even if it does mean upsetting some of the dinosaurs within.