How Do You Build an Airline? Offer Free Wi-Fi.
Erick Schonfeld
41 comments »
The Web is coming to your airplane seat, real soon. And not just e-mail and IM on one JetBlue plane. Starting in March, I am told, American Airlines will start offering Web access on-board, followed shortly by Virgin America. Both will use an air-to-ground system from Aircell. (Boeing’s failed Connexion broadband in the air service, in contrast, was an unwieldy satellite system). Alaska Airlines also has plans to offer Web service next year, but I believe that is a satellite-based system as well.
Inside the plane, some of these will be Wi-Fi. Newer planes, like Virgin America’s, that already have Ethernet jacks at every seat, will have both wired and wireless connectivity. Both plan on charging $10 a flight for Web access. I know I’d pay that. But it could be worth a lot more to them to offer it for free, and use it to build loyalty. Virgin America, in particular, has more to gain by offering its Web access for free. I personally have already started flying Virgin America (AKA the Blogger’s Airline) just because I know I will have an electrical plug no matter what seat I get. If I could get free Internet access, I wouldn’t fly any other airline. I am sure there are enough other frequent flyers out there who feel the same. Enough to keep Virgin America’s planes full, which is the only way you make money in the airline business, not by squeezing another $10 from each passenger with a laptop or an iPhone. They can also subsidize the Internet access with ads.
How do you feel about VoIP calls (via skype or Hotspot at Home service through t-mobile) being placed over inflight wi-fi?
For me I will never have to buy another magazine or newspaper again!
I slowly stopped consuming these mediums in the 90s/ early 00s and only now purchase them at the airport for my flights.
In five years will there still be as many periodical stores in airports? Hmmm
“Enough to keep Virgin America’s planes full, which is the only way you make money in the airline business”
Don’t know too much about the airline biz, eh? Full plane does not always equate into making money. Make a post like that over at Airliners.net and Flyertalk you’ll get trolled worse than you will here.
“Boeing’s failed Connexion broadband in the air service, in contrast, was an unwieldy satellite system”
Yes. One that worked over oceans and trans-pacific, trans-atlantic, and all the way from europe to australia.
“Both will use an air-to-ground system from Aircell”
Ain’t no land between London and NYC, son!
LOL.
While some of this buzz seems to be new, much of the details were released as far back as April. I’ve put together a summary of the new vs. old here:
http://www.techconsumer.com/20.....most-here/
“How Do You Build an Airline? Offer Free Wi-Fi.”
While this title doesn’t make any sense. It would be more like “How do you improve an airline”
I will say I would enjoy FREE wifi on flights, though I only fly a couple times a year max.
replace airline with anything similar and you will quickly see the English language faux pas.
“How do you build a Navy Fleet? Offer Free Wifi”
I hate to play English 101 prof, but you know.
Why so late? this should have been a standard accommodation 4 years ago!
not sure free wi-fi is the way to build an airline. yes i think we would all preferto fly VA if internet was free, however, this is an easily copied advantage.
if AA started offering free internet next month but their tickets were cheaper, would you really care which one you flew? chances are… not really.
YES! FINALLY!
I have been waiting for this for a LONG time (but probably not as long as you guys).
Lufthansa used to offer the Boeing Connexion service, but that folded in the beginning of 2007. I used to use it on trans-Atlantic flights, but would have expected to see more users on-board.
I guess it was also way overpriced. Trying to re-call, but I think it was $24.99 for 90 min (?) Don’t remember, but then I still have a ton of free coups that the used to hand out.
Aircell is EVDO based. Imagine 50 people on a plane sharing an EVDO connection.
“Broadband” might be a tad of an overstatement.
@Chris R.
Check your own amazingly brilliant writing skills before you proclaim yourself an English 101 prof. “While this title doesn’t make any sense.” isn’t exactly waxing poetic. Nice work genius.
Why has this taken so long? This is the one amenity that would actually make flying a bit enjoyable. That and standard electrical sockets to charge your laptop at every seat.
If JetBlue is already profitable and their flights are already running near capacity what’s the point of giving something away for free that would eat into your profit? Answer: the airline business is a *business*. Until WiFi becomes a common place commodity, they can and should charge for it.
PS: There’s no Web 2.0 KoolAid served on JetBlue flights. Get over wanting everything for free.
You have totally right. Internet and electrical plug at every seat should be something every airplane have.
In Sweden a new bus-company (an alternative to train or other express-buses for longer travels) have a new approach like this. Their buses have electrical plug at every seat and even free wifi/internet fore everyone. Really good, it’s worth it to take the bus instead of train… even the train had take an hour less!
They also have much better seats and when I’ve travel with them it feels really nice. Cheap, too.
Absolutely JetBlue should charge for the services. Not everyone is going to use the Wifi so why should everyone have to pay for it with the assumed higher prices? This isn’t like TV where JetBlue know everyone will use the TV.
This is great for the long distance traveler…..and VoIP should NOT be allowed…I don’t want some yahoo next to me jabbering away while I’m trying to read TC :- P
Lufthansa charged only $14.99 last year (not $25) and it worked great. I cannot wait to have this service again. It was extremely convenient, especially when you can use skype and call up people if anything goes wrong (like flight delays).
Really useful for the avid blogger and the long distance traveller
If there is a college sorority girl in the coach seat row behind me chatting (voice) it up with another college kitty, I’m gonna buy the noise cancelling headsets on-the-plane
wallahh! another biz model. sell Bose noise cancelling headsets while giving away the SFO JFK tix
wait a minute> I mean I’d educate her financially and boost her FICO with duck9 and a wiki
…. watch out for guys in funny hats chanting mumbo jumbo too!
http://fakesteveballmer.blogspot.com
I wouldn’t be too quick to expect broadband access on flights just yet - the slice of bandwidth that might be made available for land-to-air connections is supposedly too tiny for that - I’d be happy if email and IM worked properly, in the first round.
I was on a 17 hours flight from SFO to Singapore on Singapore Airlines. I was thrilled by Boeing’s Connexion (wifi) and paid about $20 for 24hrs access (cheap!). The connection was fast and I was able to surf the net and chat on ym as if it was on a broadband connection.
Boeing’s Connexion failed because of 2 things:
1) As much as I would like to surf the net thru’out the flight, my laptop battery could only last at most 4 hrs. Economy seats don’t come equipped with power outlet.
2) Even though business and first class seats do come with power outlet, there’s no incentive for business travelers to get on the internet and check emails. Most business travelers treat their flight time as their place of solace.
In a way, I’m glad that Boeing discontinued Connexion. Can you imagine all the passengers going on skype and yaking away during a 17 hours flight?
Net access on domestic flights will be nice, but the real value for business travelers will be the ability to access the net on intercontinental flights. I’ve used Connexion from SFO to Asia and back - very very nice. Believe I paid $25 for 24 hours - a deal and went on my expense report anyway.
Not having power in coach is a limitation.
Plane flights is where I can get some concentrated work done without people interruptions, do my expense report and submit it, IM and generally work on projects that require deep concentration. In-flight net access and noise canceling headphones make a trip to Europe or Asia bearable.
This all sounds great - but I can barely tolerate using my laptop on a plane with a pitch of 35-36″ but on this 32″ pitch I would think it would be impossible. Although I am larger than the average travller (6′2″ 225 lb) it seems to me that all of us sitting in United Economy Plus section (the 35-36″ pitch depending on aircraft) are about the same size …. I think Virgin would do better to accommodate size/configuration issues before bothering with a dreadfully slow (EVDO) internet connection. I also agree with everyone the VOIP should be banned.
Hey Virgin consumer marketing people who are reading this - offer free Wifi and I will always choose Virgin for flights. And add more indie film content, especially short films, to the in flight entertainment system. [ FutureShorts.com ? ]
By the way, I appreciate the Digg discount code.
Does bit torrent work on airline networks? Anyone know?
It would need to be blocked, along with VOIP. I agree that nobody wants to overhear voip conferences for hours while on a plane.
are you bloody kidding??? drop a pen, you have to wait for the flight to get over before you can pick it up, no room to bend down… no room for a laptop, and then the guy in front of you puts his seat back, no room to even read a paperback…. bloody airlines might as well conk you out and stack you up, the wifi for sure is only for the front of the plane…
virgin Atlantic started off like virgin America but now it’s awful unless you travel in upper. I am 6 foot plus and have a food allergy and had an awful flights to and from san fran. The staff are nice but I think they have dropped the ball recently. Anyone got any suggestions for transatlantic flying?
I would choose an airline with a Power plug and wifi connection over any other airline ‘hands down’.
I would pay 10$ for airline internet access every time I fly… I spend double that on magazines and movies anyway.
Free vs non-free: $10.00
An internet connection and a power outlet vs none: priceless
Of course they will charge for the access. A sizable chunk of passengers are business
travelers who will just expense it as a (obviously justifiable) business need.
Look at how this model works for hotels. The low-end tourist-serving motel chains offer
free internet. The higher end business-oriented chains always charge.
I look forward to being able to browse the internet on an airplane.
One of the middle east companies has been providing it for couple of years. I am not sure if I read it here is somewhere else.
This tickles fliers here in Asia - talking about your ‘no-frills’ outfits like Virgin offering wi-fi; they are a major shareholder in Air Asia, who charge disabled passengers US$5 for the brief use of a wheelchair. And that’s a vast improvement! Until recently, they wouldn’t carry ‘wheel-ons’ at all.
http://airasiaannus.blogspot.c.....icine.html
The exquisite irony is that along with sponsoring Manchester United, Virgin’s cut-price sister airline just signed a huge deal with Williams F1 … he he he … perhaps failing to notice Sir Frank Williams is in a wheelchair.
CC
That good news, to get access at $10 is so cheap.
Refs, TV’s, Cell phones etc.., and now Airplanes? do you have any idea what would be the next big thing on the web? Its obvious guys, even small kids are using the internet nowadays and any amount to be collected is ok as long as the service is entertaining.
Definitely no need to make it free. The people who love the internet connection won’t really care whether it’s free or not b/c it’s so important to them. There probably aren’t that many people out there who would be evangelizers or dedicated (loyal only to the airline) flyers based on this free/not free decision. Ultimately, it’s a game theory decision — if anyone major makes it free, then they will all have pressure to make it free. While there’s still a fee, nobody seems to have “expensive internet access” and they can all benefit. As a side bonus, the non-Internet users (there are still plenty of them out there) don’t feel like they’re getting charged unnecessarily in the ticket price for a service they’re not using.
I love the idea of WIFI Internet access on planes, but dread the day when cell phones can be used on board and I have to listen to every self-important a-hole’s conversations about late deliveries of two-inch toggle bolts to Scranton. I only relax on planes once they tell you to turn off the cell phones. Arg!
It´s really fine, that we can stay always connected with the world