Business News

Aviation Broadband Won’t Fly with Per Flight Pricing

2008-08-05 10:43:00

Aviation Broadband Won’t Fly with Per Flight Pricing

ARLINGTON, Va.–(EMWNews)–While in-flight connectivity announcements from Southwest, Alaska,

Virgin America, JetBlue, and American Airlines have been covered

extensively in the press, the aviation broadband industry has been 12-18

months away from large deployments for the last seven years. And while

some airlines have delayed airborne Internet for customers, many others

have installed wireless access points across their fleet for FOQA

(Flight Operations Quality Assurance). But in order to bring cabin

communications up to the level of crew operations, service providers

will need to develop new pricing structures, according to a new report

from Freesky Research.

If the airline broadband industry wants to

move beyond the wait til next year philosophy

that has defined it since 2001, it needs to lose its fixation with per

flight pricing, according to David Gross,

author of the report. Either it needs to

charge exceptionally high per minute rates like providers serving

business jets and cruise ships do, and serve a high-end niche only, or

move to subscription services like most terrestrial hotspot services.

The mushy middle approach of charging more than a ground service, but

less than a business jet service will neither attract the mass market,

nor maximize revenue among price-insensitive travelers.

In addition to pricing, this study, titled Aviation Broadband Networks:

2009-2012, looks at technology developments and economic issues driving

the growth of data services on both business jets and airliners. It is

available for sale now, and includes forecasts for both satellite and

air-to-ground services.

About Freesky Research

Based in the Washington, DC area, Freesky Research is an industry

analyst firm covering data communications in air & space.

Freesky Research
Rachel Green, 703-879-5655

free cash grants, free grant money, free money, cash grants, scholarships, business grants, foundation grants, government grants, debt grants, consolidation, college tuition, financial aid, medical grants, personal grants, medical bills, unsecured loans, no interest loans, financing, loans, capital, non profit organizations

Major Newsire & Press Release Distribution with Basic Starting at only $19 and Complete OTCBB / Financial Distribution only $89

Get Unlimited Organic Website Traffic to your Website 
TheNFG.com now offers Organic Lead Generation & Traffic Solutions





























Blake Masterson

Freelance Writer, Journalist and Father of 5

Related Articles

Back to top button