Boeing is to axe its Connexion in-flight internet
service and quit the broadband market, citing lack of interest from
the airline industry.
The Connexion by Boeing service was set up to provide
satellite-based high-speed internet access to passengers and crews
of airplanes and ships.
But the aircraft giant announced that a detailed business and
market analysis of its Connexion service – including discussions
with existing users and potential new business partners - had led
to the decision to close down. Boeing will work with users to
facilitate “an orderly phase out”, the company said.
Boeing chief executive Jim McNerney said, “Over the last six
years, we have invested substantial time, resources and technology
in Connexion by Boeing. Regrettably, the market for this service
has not materialised as had been expected.
The shutdown is set to incur pre-tax charges of up to £170m this
year. Boeing expects to redeploy most Connexion staff to other jobs
at the company.
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