Airway epithelial cells have been shown to drive differentiation of monocytes into dendritic cells (DC) with suppressive phenotype. In this study we investigated the impact of virus-induced inflammatory mediator production on DC development. Monocyte differentiation into functional DC, as reflected by the expression of CD11c, CD123, BDCA-4 and DC-SIGN and the capacity to activate T cells, was similar for respiratory syncytial virus (RSV)- and mock-infected BEAS-2B and A549 cells. RSV-conditioned culture media resulted in a partially mature DC phenotype, but failed to upregulate CD80, CD83, CD86 and CCR7 and failed to release pro-inflammatory mediators upon TLR triggering. Nevertheless, these DCs were able to maintain an antiviral response by the release of type I IFN. Collectively, these data indicate that the airway epithelium maintains an important suppressive DC phenotype under inflammatory conditions induced by RSV infection.