“We have successfully pivoted from an airline to an all-in-one digital lifestyle company anchored on travel.” This was the key message delivered by AirAsia Group CEO Tony Fernandes as part of the company’s Q2 financial results that showed a 96% drop in quarterly revenue. Airline-related revenue dropped 98% while non-airline revenue, a much smaller portion of the company’s operations, dipped only 55%.
inflight connectivity
Global Eagle’s connectivity business shines as content falters
Global Eagle quietly released its Q2 2020 earnings last Friday and the numbers are bad. But, in at least one context, not nearly as bad as they could have been. Somehow the company’s global connectivity business segment managed to eke out a positive margin for the quarter.
Gogo confirms "extensive" discussions to sell commercial airline inflight connectivity business
For more than two years Gogo teased the idea of splitting the company between its Commercial (airline) and Business (private) Aviation segments. The rumblings ebb and flow, but by mid-July the tone of the conversation was undeniable. Now the company confirmed the news. Gogo has retained outside advisors to assist with the formal process to “evaluate our strategic options” for the business.
Seeking a strategic use for Viasat’s $175 million raise
Was Viasat’s recent deal to secure $175mm in new capital just a matter of convenient timing? Or is there a specific plan for the cash? CEO Mark Dankberg got into some of the possibilities today, including potential inflight connectivity opportunities, while clearly leaving the door open for many more options to come.
Virgin Australia to ditch twin-aisle fleet, focus on domestic and regional service
As part of its recapitalization plan Virgin Australia intends to retire its long-haul aircraft. The carrier’s five 777s and six A330s will be removed from service as it invests “in the core Virgin Australia domestic and short-haul international operation.”
Astronics still sees opportunity in BizAv IFC market
Astronics is ready to move beyond the AeroSat antenna challenges of years past. In today’s quarterly earnings call CEO Peter Gundermann exuded confidence in the potential for the company’s latest partnership, with SES and Collins Aerospace, for a tail-mount solution to fly on larger biz jets.
Amazon commits $10 billion to Kuiper LEO constellation
What does it take to put a new low earth orbit (LEO) satellite constellation into service? The myriad technical challenges are not to be underestimated, of course, but a lot of it comes down to money. In the case of the Amazon Kupier project that’s a $10 billion commitment.
Gogo to trim headcount as recovery optimism weakens
Gogo is eliminating 143 fulltime positions, predominantly from the Company’s Commercial Aviation business. The move aims to “align the scale of its organization with current demand for aviation connectivity services” as the current industry downturn continues to impact its revenue, especially in the commercial aviation segment.
Connectivity: Splitsville
‘Tis the season for restructuring in the aviation world. And for one supplier a deal years in the making may finally be on the horizon.
American Airlines takes control with new WiFi portal launch
American Airlines completed its inflight connectivity systems upgrade last year and now is taking that more difficult step, harmonizing the login portal for its passengers. An updated, unified interface deploys on the Viasat and Gogo-fitted aircraft this month.