By Rajesh Kumar Singh CHICAGO (Reuters) -JetBlue Airways and United Airlines have been negotiating a partnership, three industry sources familiar with the matter told Reuters. The New York-based airline has been seeking partnerships after a federal judge blocked its so-called Northeast Alliance with American Airlines in 2023.

The upgrade of the Polaris lounge at O’Hare is United’s latest salvo in the broader arms race for premium passengers that’s playing out across the commercial aviation industry. More customers are seeking, and paying for, perks ranging from extra legroom to lounge access.

The New York airline has been in talks with several carriers this year about a partnership. JetBlue's president, Marty St. George said on an earnings call on Tuesday that the company expects to make an announcement this quarter. He emphasized that the partner's bigger network would allow customers to earn and burn loyalty points on JetBlue.