Is FTAI's approach actually more efficient?

For FTAI, on a per cycle basis, they are building these engines at 30%, 40%, or 50% less than what a third-party MRO would charge. When they lease out the engines, airlines pay maintenance reserves or utilization fees for every hour and cycle consumed. FTAI charges full retail, full OEM pricing per cycle per hour, but their internal cost is significantly lower. This creates a natural internal arbitrage. It makes a lot of sense for FTAI, and they are putting many engines out on lease with a maintenance program built in, known as power by the hour programs. Airlines pay a fixed hourly fee to a lessor that includes maintenance, removing the maintenance burden from them.