The major airlines servicing the airport are Qantas, Jetstar and Virgin Australia operating domestic flights predominantly to Melbourne, Sydney and Brisbane.

Due to the airport's southern location, Skytraders operates regular flights to Antarctica on behalf of the Australian Antarctic Division using an Airbus A319.

As air travel became more frequent and the number of flights increased, it was clear that Cambridge airport was only suitable for light aircraft.

The runway was extended again in 1985[10] to cater for large aircraft such as the Boeing 747 and Antonov 124 (albeit to a limited operating range).

This work expanded the domestic terminal building over the tarmac by three metres to provide more departure lounge space.

In December 2007, the Tasmanian Government sold the TasPorts owned subsidiary for $350 million to the Tasmanian Gateway Consortium, a private consortium made up of Macquarie Capital (one of Macquarie Group's infrastructure funds) and Tasmania's public sector superannuation fund, the Tasplan.

In 2007, the two terminals were connected in a $15 million[23] development to meet new Commonwealth legislation that requires all checked luggage to be X-rayed.

[24] In 2008, the airport received a commendation for public architecture at the Tasmanian Chapter of the Australian Institute of Architects, for the new terminal upgrade.

[6] There are two domestic freight areas operating at the airport, catering for Qantas, Toll Air and Virgin Australia.

[6] In January 2007, Virgin Blue and Toll Air opened a 1,000 m2 (10,764 sq ft) dedicated freight facility to the north of the international terminal.

This new freight area has no dedicated apron of its own, but rather makes use of the cargo holds of the passenger aircraft already serving the airport.

[6] The majority of Hobart's general aviation traffic makes use of the nearby Cambridge Aerodrome, which was sold in 1992 on the condition that it remain an airport until 2004.

[6] Since that date, Hobart Airport has made plans for a large expansion catering for general aviation should the owners of Cambridge Aerodrome decide to use the land for other purposes.

[6] This expansion would include a new runway and a general aviation apron located south of the existing Domestic Terminal.

Early in 2006, the airport announced plans to build a Direct Factory Outlet, covering an area of 18,000 m2 (190,000 sq ft),[31][32] which would have made it the largest of its kind in Australia.

[33] While the Tasmanian Government supported the project, believing the Direct Factory Outlet would drive retail trade growth, the Hobart City Council and a large amount of retail shop owners in the Hobart central business district expressed fears of losing business.

[33] Concern was also expressed about the big box being built on commonwealth land and therefore escaping the state planning laws.

Federal Transport Minister Warren Truss gave approval on condition the outlet centre was cut by almost half to 10,000 m2 (110,000 sq ft),[31][34] prompting Austexx to walk away from the proposal.

In December 2018 Link Logistics International started a cold storage and warehousing facility at the Hobart Airport.