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In-Flight WiFi Deployments Grow -- Is The Demand For Real This Time?
from the connection-made dept
American Airlines has announced that it will equip most of its domestic fleet with gear to offer in-flight WiFi over the next two years, following earlier news from Delta that it would roll out equipment in its planes in a similar timeframe. Given the current economic climate and the downturn in both the number of people traveling and airline's fortunes, the news is a little surprising, perhaps even more so when you consider in-flight internet's track record of failure. It's always been sort of a mystery why so many people indicate so much demand for in-flight internet, but then not enough actual paying customers materialize to keep the services afloat. But technology has advanced some since the satellite-based Connexion system. American and Delta are getting their service from Aircell, which uses ground-to-air communications, instead of satellites, at a much cheaper cost. This may trickle down to the price the airlines charge to end users, but its real value is in lowering the breakeven point, meaning not as many users will be needed to justify the installation and operation costs as with the satellite-based systems. Still, it remains to be seen if the actual demand for these services will ever reach the supposed demand indicated anecdotally and by surveys, but the aggressive expansion plans by cash-strapped airlines indicates they think it will.
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Price and Convenience is king
It's always been sort of a mystery why so many people indicate so much demand for in-flight internet, but then not enough actual paying customers materialize to keep the services afloat.
What's the mystery? Everyone would like to have internet while travelling, but no one is willing to pay some outrageous fee for it. Plus there needs to be convenience .
If I'm buying my airline tickets they need to offer right up front, would you like to pay a $10 fee for in flight internet access? And then give me some sort of code to input into my wireless settings for it to work.
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right
I'm perfectly happy paying an extra $20 up front to book on an airline that has WIFI, it's the extra $20 on the plane that day that makes me say "screw that i'll just watch a DVD instead"
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Soon there will be laptops provided to you, like earbuds today. The only prob - do not divulge personal info.
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Conflict?
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What about competition from Row 44
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the real reason
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Taking a 2 or 3 hour flight and paying that price is also just as silly, unless you have something totally important to do that just can't wait. Otherwise, you would work offline and connect at your next stop.
I think if they shifted it over to either being included with the ticket or on a very small service charge, they might get takeup on the offer - but with the high price, it's just like those seatback phones - nobody used them unless they were truly desperate.
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Satellite Is Cost-Competitive
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Inflight internet
They have a long way to go, but it would be quite popular if they could make it reasonable (though with free WiFi, it would tend to go against the grain to pay, and if you have internet, you have a telephone connection without an inflight telephone).
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