The Business of Passenger Experience
Just how many aircraft carry inflight connectivity hardware? And which kit?? A pair of announcements this week gives greater insight into which kit is where and how the market is shifting, rapidly in some cases. Not that installation number 1000 matters more than number 999, of course. Yet somehow it does. Just a little.
Earlier this month EASA issued an Airworthiness Directive affecting certain of Gogo’s 2Ku inflight connectivity installations. Air vortices created by the 2Ku radome cause excessive vibration in the ELT antenna, potentially shaking it loose or causing structural issues in the fuselage. Fortunately the issue was discovered relatively quickly, the number of aircraft affected is low and a revised installation process is expected to be in place in the near future.
Gogo plans significant cost cuts as it seeks to shore up its financial position. Facing a financing crunch the company's "Gogo 2020" business plan unveiled this week will see hundreds of millions of dollars cut from cost side of the balance sheet as jobs and programs are dropped from the company.
Nearly two years after the deal was announced the Gogo 2Ku hardware is beginning to show up on KLM aircraft. A pair of A330-300s now carry the kit. The service is not yet active for travelers, but that’s coming soon enough.
Air Canada’s long-haul travelers get a new option for inflight connectivity and it is a good one. The carrier’s 19-strong fleet 777-300ER aircraft now serve up internet with the Gogo 2Ku service on board.
AirBaltic loves its CSeries jets. The Latvian carrier is set to dramatically grow that fleet. Today’s deal with Bombardier, inked just over one year since the first CS300 arrived in Riga, adds at least 30 more of the type to its fleet.
As Alaska Airilnes shifts its aircraft to Gogo's 2Ku offering passengers will see increased bandwidth, hopefully driving an increase in the number online. But a change in the way the product is priced could throw a wrench in those plans.
Sticky 2Ku antennae will cost Gogo north of $25mm to repair or replace, and that's not the only challenge new CEO Oak Thorne faced as he presented his first quarterly earnings call for the inflight connectivity provider.
The newest delivery to Alaska Airlines entered service last week with a special addition on board. Ship N927VA, an A321neo, is now flying throughout the Alaska Airlines network with Gogo’s 2Ku inflight internet service installed. This is the first Alaska Airlines aircraft to operate with the kit.
Following the unexpected transition to a new CEO further management shakeup is hardly unexpected. Gogo took that step this week, announcing three new senior leadership positions in the company.
