Icelandic Start‑Up Niceair Delays Comeback Plans

Icelandic aviation start‑up Niceair has postponed its planned comeback to commercial flight operations after early indications of demand for its inaugural services fell short of expectations, delaying what had been one of the sector’s more closely watched relaunch efforts.

Niceair, originally founded as a virtual carrier that last operated scheduled flights between Akureyri and Copenhagen in 2022, had been preparing to resume operations in early 2026 with a refreshed business model under new management. The relaunch strategy involved flying from Akureyri, a regional airport in northern Iceland, and tapping into both domestic and select European leisure markets.

However, the airline’s planned return was postponed after bookings for the first scheduled flights — notably the February Akureyri to Copenhagen service — were significantly below projections. Icelandic news reports indicate that the volume of reservations did not meet the airline’s internal thresholds to justify commencing operations responsibly, prompting the postponement while the carrier reassesses market conditions and underlying demand.

The delay reflects ongoing challenges for start‑up carriers in the post‑pandemic aviation landscape, particularly those attempting to establish operations from smaller regional airports. With operating costs tightly linked to fleet utilisation, crew scheduling and airport fees, carriers facing weak bookings can quickly face untenable unit economics without sufficient load factors.

Niceair’s earlier iteration ceased scheduled services after a brief operational period, and its 2026 relaunch was positioned as a more cautious “2.0” approach that emphasised flexible operational arrangements — potentially including chartered capacity and phased network deployment — rather than committing immediately to long‑term leases or a full route schedule. The postponement will likely give the management team additional time to refine its strategic plan and explore partnerships or alternative revenue streams.

For regional Icelandic aviation, the prospect of renewed scheduled services from Akureyri remains significant, given the town’s distance from larger Icelandic airports and its role in connecting northern Icelandic communities with international markets. Airlines that have succeeded in such niche markets typically combine strong pricing discipline with targeted seasonal schedules and robust ancillary revenue strategies to underpin sustainable operations.

Niceair’s postponement underscores the broader sensitivity of start‑up carriers to demand volatility, particularly in markets where leisure traffic can be highly seasonal and where established carriers continue to dominate key routes. The company’s leadership has indicated that operations are not being abandoned, but will be deferred until conditions are more supportive and booking trends demonstrate sufficient confidence.

The decision also highlights how airlines are adapting their launch plans to real‑world booking data rather than fixed timelines, reflecting an industry‑wide emphasis on measured growth amid cyclical traffic patterns and competitive pressures in regional aviation markets.