I don't think they'd ever be able to compete with AS on that route. Little planes leaving every 30 minutes creates it's own market for business travellers that woudn't exist for 737's leaving 3 or 4 times a day.

If you have to wait 2 hours for your flight, might as well just drive. If you can show up and be in the air within 30 minutes, then flying looks a lot better. AS really pushes the convienience factor in their advertising for that route.

Matt