- 4 months ago
How billionaires are fueling the rise of private jets
Category
🤖
TechTranscript
00:01This $80 million plane is the latest in a fleet of private jets offered by Qatar executive.
00:09First class is not even a comparison right now because there's an actual band.
00:16With the world seeing more billionaires than ever, demand for this kind of extravagant travel is soaring.
00:23And accessing this luxury is becoming easier than ever through chartering and timeshare services.
00:30Qatar has been quietly building up its aviation industry, too.
00:35This whole country, it's sort of, well, it's like a giant aviation industrial complex with a country under it.
00:42Recently, Qatar gifted President Trump a luxury jet intended to be used as a new Air Force One.
00:49You look at some of the Arab countries and the planes they have parked alongside of the United States of America plane.
00:56It's like from a different planet.
00:58So how luxurious are private jets these days?
01:03And what are the trends driving the industry?
01:09This airport in Doha is mainly reserved for flights on Qatar executive, which caters to corporate customers, government officials and what the airline calls ultra high net worth individuals.
01:22My first and probably last time on a private jet. Let's go.
01:26We took a tour of one of their newest models, the G700, custom made by the American company Gulfstream.
01:34The jet has many exclusive features, including 10 leather seats and a couch that can all turn into beds.
01:42Yes, it's comfortable. I just want to say that there's a certain smell in this plane and it kind of smells like luxury or leather.
01:51Unlike commercial cabins that recirculate air, this plane is designed to take in fresh air through the engines.
01:58It is then compressed, cooled and filtered before being released into the cabin.
02:04There's also a private suite all the way at the back to minimize the engine noise.
02:11So this door is designed to go up and down like this for a reason.
02:15It's because at higher altitudes an aircraft expands.
02:18And the only way you can seal the doorway and not let any light through into this bedroom space is if this door moves like this.
02:30The airline offers an array of dining options you can order at any time.
02:35And it offers a concierge service.
02:38So these macaroons were made at the catering facility in Doha.
02:44But say if I was taking this private jet from Paris to Doha and I wanted La Dure macaroons, then that's what they would do.
02:51They would actually buy them and serve them as part of their service.
02:57The crew is also carefully selected.
02:59Every flight attendant must have a minimum 10 years of experience.
03:04If you have any special requests, we will include.
03:07And you can have the meals at any time.
03:10Amazing.
03:12The bathroom also has hints of luxury.
03:15The amenity kit is designed by the French perfume brand Diptyque, whose lotions can cost as much as $100.
03:22Perfume, body wash, lotion, and socks.
03:29Again, this looks like a chair.
03:32Looks like a sink.
03:34But where in the world is the toilet?
03:37Well, guess what?
03:39Here it is.
03:40Here it is.
03:41Left to this.
03:46There's the golden throne.
03:48Shall we say hi to the pilots?
03:50Say hi to them.
03:51Hello.
03:52Hello.
03:53How are we doing?
03:54The pilots on this jet told us there are big differences between flying a commercial plane versus a private jet like this one.
04:02And that also adds to the experience.
04:04It's like having a Ferrari.
04:05And we have different views on this one.
04:07And then situational awareness on this airplane is very high.
04:11The Gulfstream can fly at an altitude of 51,000 feet.
04:1610,000 feet higher than a typical commercial airliner.
04:20That increased altitude has surprising benefits.
04:23This aircraft is more economical flying higher.
04:25So you burn less fuel and it flies much faster.
04:28We fly at about 90% of the speed of sound.
04:31It also means the jets can fly above commercial traffic and avoid certain weather patterns.
04:38So there's less turbulence and the flight can be shorter with a more direct route.
04:43Another advantage is how the cabins are pressurized.
04:47Commercial flights simulate an altitude of 6,000 to 8,000 feet, about the height of Machu Picchu in Peru.
04:54But this jet has a cabin altitude of just 2,800 feet.
04:59That's like standing on top of the world's highest building, the Burj Khalifa in Dubai.
05:04You feel really comfortable on this airplane.
05:06Even after a 13, 14-hour flight, you don't feel tired.
05:09We stayed on the tarmac for this tour.
05:12But a one-way flight from New York to Doha on a jet like this
05:16can cost up to $300,000 depending on the availability and any specific requests.
05:23Since Qatar Airways launched this private jet arm in 2009, it's seen a surge in demand,
05:29with revenue growing 29% in the last fiscal year.
05:33That tracks closely with the rise of millionaires and billionaires worldwide.
05:38In 1990, the U.S. had 66 billionaires. Today, it has more than 900.
05:45That total is followed closely by China, which has more than 500 billionaires.
05:51And India has the third most, with 200.
05:54Those three countries alone make up more than half of the world's 3,000 billionaires.
06:00The level of wealth increasing in the world greatly outpaced the business aircraft market.
06:05So I think, in other words, we've kind of got a game of catch-up among wealthy folks saying,
06:11Oh, okay, I can fly privately. What a great idea.
06:15Powerhouse celebrities from the world of music, film and sports have all made the upgrade.
06:21And for many of them, even charter flights aren't good enough.
06:26So they've bought their own jets.
06:28Oprah Winfrey went private back in 1991 after a fan asked her for a hug while waiting for a flight in Chicago's O'Hare Airport.
06:37Her newest jet is a Gulfstream G700, like the one we toured.
06:42Taylor Swift, Tiger Woods and, of course, Elon Musk all own personal luxury aircraft.
06:48Warren Buffet named his the Indispensable after experiencing the convenience of traveling on his own time.
06:56And Donald Trump has owned private aircraft since the 1980s.
07:01While other public figures might try to play down their expensive purchase, Trump has flaunted it.
07:07His Boeing 757 is emblazoned with his name in gold letters.
07:12He calls it Trump Force One, even though it's not his presidential plane.
07:17The U.S. has two Air Force One planes, but they are more than 30 years old, having been used by six presidents dating back to President George H.W. Bush.
07:29So they need to be updated.
07:31During his first term, Trump signed a nearly $4 billion deal with Boeing for two new jets.
07:38Well, the plane is totally out of control.
07:40It's going to be over $4 billion.
07:42It's for Air Force One program.
07:45And I think it's ridiculous.
07:48They were due to be delivered in 2024.
07:51But production delays have pushed Boeing's deadline to beyond Trump's second term.
07:56That's why he made other plans.
07:59In May 2025, the U.S. accepted Qatar's gift of a luxury Boeing 747-8 jetliner.
08:08The plane is decked out with luxury fabrics, big leather seats, and shiny wood veneer.
08:15It has lounges and bedrooms, a private office, and, of course, an over-the-top bathroom.
08:22Probably what happened is President Trump got on the current Air Force One and found it rather, you know, quotidian.
08:30And then he saw the Qatari plane, which I'm sure has more, you know, gold lame than, I don't know, your standard disc attack in the 1970s.
08:39And that's what I want.
08:42But the U.S. Constitution has an emoluments clause that prohibits accepting such an expensive gift from a foreign government,
08:49unless it's approved by Congress.
08:52And this one wasn't.
08:54There is no such thing as a free palace in the sky.
08:57What do foreign countries want when they give massive amounts of money and other gifts to the president?
09:04I could be a stupid person, say, no, we don't want a free, very expensive airplane.
09:10But it was I thought it was a great gesture.
09:13The White House said the aircraft was worth $400 million and would save taxpayers money.
09:19But experts say it's 13 years old and might only be worth a quarter of its original price.
09:26I don't think the Qataris quite know what to do with this, Chad.
09:28There's no residual market.
09:29There's no secondary market.
09:31So I think they probably said, well, at least we can carry a bit of political favor.
09:36The upgrade could also take years to complete.
09:39Here's what needs to happen.
09:42First, the jet must be completely taken apart to check for any spying devices.
09:47Then, new security features approved by the Pentagon would need to be installed.
09:53Air Force One is designed to be a White House in the sky.
09:57It should be able to defend against surface-to-air missiles and even survive a nuclear attack.
10:03It also has a very strategic layout with a surgical suite and two kitchens capable of preparing up to 100 meals at a time.
10:12It can even be refueled mid-air given the plane's unlimited range.
10:18Does Trump say, I don't care about these systems.
10:21I just like the interior.
10:22Do we cut corners and fly around in a less capable, less safe Air Force One?
10:29Here in the U.S., the rise of private flying is closely tied with the history of Air Force One.
10:35Franklin Roosevelt became the first president to fly in a private, purpose-built plane in 1945 when he traveled to Crimea during World War II.
10:45Roosevelt's plane had a conference room, a special wheelchair lift, a bulletproof window, and a refrigerator.
10:52The epitome of luxury at the time.
10:55In 1953, President Dwight Eisenhower became the first to officially call his plane the Air Force One when he upgraded to a jet, a Boeing 707.
11:06Ten years later in 1963, a Swiss-American aviation company, Learjet, introduced the first private aircraft, with seats for six passengers and two pilots.
11:18Its price tag started at about $650,000.
11:23In the late 70s, Boeing began converting its popular 747 model for private luxury travel.
11:30Over the next two decades, charter services emerged, allowing people to easily explore and book private trips, ushering in a new era of flying.
11:40Qatar has been building its own aviation empire since 1993, while using planes as a diplomacy tool.
11:50In 2000, the country sent a Boeing 747 to Iraq as an expression of solidarity.
11:57In 2013, when Turkish and Lebanese hostages were released from Syria, Qatar executive quickly offered jets to escort them home.
12:06And in 2018, Qatar's Emir gifted a Boeing 747 to Turkish President Erdogan, citing his trust in Turkey.
12:15I don't think there's any question that they regard aviation as kind of an integrated, well, fabric, if you will.
12:23Economics, diplomacy, military power, so hard and soft power.
12:28There's no way they could be spending this monster amount of money on jets without having a sense of what it all means.
12:36Becoming an aviation powerhouse has also helped Qatar secure its position in the Middle East.
12:43When tensions escalated between Qatar and its neighbors in 2017 over its ties to Iran, Egypt, the UAE, Bahrain and Saudi Arabia imposed a massive blockade.
12:56They denied the tiny kingdom access to their airspace and seas and closed its only land border.
13:03Qatar relied on imports for survival.
13:06And the country was facing a crisis.
13:09It quickly turned to its aviation superiority to flex some muscle.
13:14The airline flew thousands of dairy cows on Qatar Airways cargo planes from Germany, the Netherlands, the U.S. and Australia to Doha, where a new farm was waiting to help give the country more control over its food supply.
13:30Aviation was their lifeline.
13:32And whether economically or diplomatically, there was that high profile story, I believe, of using Qatari jet lighters to fly dairy cows into the country so they could have milk.
13:42You know, I mean, it was an exceptional moment in history.
13:46And Qatar's influence in aviation extends beyond just owning fancy planes.
13:51The Qatar Investment Authority, the country's $500 billion sovereign wealth fund, has bought shares in other airlines.
14:00In 2025, it scooped up a 25% stake in Virgin Australia after Australia wouldn't allow Qatar Airways to expand its flights.
14:10In 2020, Qatar secured its 25% stake in IAG, which operates British Airways, Iberia and Aer Lingus, among others.
14:20And back in 2012, the country bought a 20% stake in London's Heathrow Airport.
14:26It also owns part of two African airlines, Air Link and Rwand Air.
14:32Qatar's ties to the United States also run deep.
14:36It shelled out $8 billion over the last 20 years to help develop and maintain the Al-Udeid Air Base, the largest U.S. military facility in the Middle East.
14:46It houses some 10,000 troops.
14:49In May 2025, Trump said Qatar pledged another $10 billion towards the base over the coming years.
14:56These close ties benefit some U.S. manufacturers as well, like Boeing.
15:01Qatar Airways has an order for 210 aircraft.
15:05And Qatar executive flies 22 private jets made by another American manufacturer, Gulfstream, with a few more scheduled for delivery next year.
15:15The private jet business is also growing worldwide.
15:18Today, there are about 23,000 private jets operating around the world, and about 65% of those are based in the U.S.
15:27That's up from 10,000 jets operating globally in 2000.
15:32Analysts say the global business jet market could reach nearly $70 billion by 2032.
15:39But owning a private jet isn't the only option.
15:44Some invest in fractional ownership, kind of like a timeshare for jets, where owners share costs such as maintenance, staff salaries, and hangar space.
15:54Others book and share chartered planes, or they use jet card programs that are like a prepaid card for flight hours.
16:02Vistajet is one company that offers such a program.
16:05As long as the runway is long and safe enough, we'll make it happen.
16:08Vistajet started with just two Learjets in 2004.
16:13Now, it has a fleet of more than 300 aircraft around the world.
16:18The company uses a subscription-based plan in which clients buy flight hours.
16:23And it replicates ownership, but what it does is that it takes away all the ownership risks,
16:28where the asset depreciation, the management of the aircraft, and the operation of the aircraft.
16:35It's a convenience clients are willing to pay for.
16:38The flight time costs anywhere from $11,000 to about $25,000 an hour, depending on the type of plane.
16:45Members have to purchase a minimum of 25 flight hours a year with a three-year commitment.
16:51And there's a separate fuel charge on top of the hourly rates.
16:56One flight from New York to London on this aircraft type could cost you $300,000,
17:02where our average client average net worth are well over half a billion dollars.
17:07Members are guaranteed a plane will be available for their flight as long as they give 24 hours notice.
17:14It's like doing a jigsaw puzzle, how you make sure that you have enough availability,
17:20but at the same time, we can't have too much waste.
17:23To avoid empty seats, the company also sells individual chartered flights outside the membership program.
17:30And they're looking for ways to reduce their carbon footprint.
17:34Studies have found that private flights are up to 14 times more polluting per passenger
17:40than flying commercial, as the carbon footprint is spread across fewer people.
17:45One study calculated that two hours of a private flight emits more carbon dioxide than an average person creates in a year.
17:54And because these planes fly higher, the emissions are released in more sensitive parts of the atmosphere,
18:01where they linger, potentially contributing to more global warming.
18:0685% of our customers opt in for our carbon emission program.
18:11If they could give us, for example, a seven-day spoken notice,
18:15because they help us to organize our fleet to reduce that empty lag.
18:19Like Qatar executive, Vistajet is competing to meet its customers' high expectations for luxury.
18:26When cooking on a private jet, the food has to be specifically engineered so that things don't dry out.
18:34And that's what they really specialize on, and getting the food from world-renowned chefs like Nobu and things like this.
18:41On the 7500, we have two ovens, which are perfect for this.
18:46With the private airline, we can really cater to our clients' specific needs.
18:51We know exactly what our clients like.
18:54And we take feedback after every single flight, and we write back to our company.
18:59When it comes down to owning, sharing, or chartering, experts say there's one simple principle.
19:07For those who travel a lot and can afford it, owning is perhaps the way to go.
19:29It's perhaps the way to keep our someplace you're surrounded.
19:30That's what you're trying to speak with.
19:31Yes.
19:32And you step up.
19:33You're going to have a hymn in a hypnosis.
19:42It depends on how you want to enjoy this space.
19:43It is not a physical space and power life.
Be the first to comment