Southwest Airlines has revealed significant updates to its operations, including the planned introduction of assigned seating by 2026, as part of a transformative strategy to address financial pressures and enhance customer experience. The airline's CEO criticized the criticism from activist investor Elliott, while also showcasing a stock buyback plan aimed at improving shareholder value. Key takeaways from Southwest's recent investor day include a shift from open seating, adjustments to their checked-baggage policy, and a focus on profitability which may involve cutting jobs and services, particularly in Atlanta. With economic challenges mounting, Southwest is also working on a new vision to maintain its status as a budget pioneer amid changes that may affect customer loyalty and preferences.