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Build It and They Will Come? The In-Flight Broadband Market
In-Stat/MDR, July 2010, Pages: 57
The in-flight broadband market has achieved a remarkable revival over the past several years. Plane deployments have skyrocketed from just 25 aircraft in 2008 to an expected 2,000 commercial aircraft by the end of 2010. While the installed base of aircraft is approaching a critical mass, the viability of in-flight broadband will be tested over the next year. Usage of the service has been disappointingly low, at an estimated 2 percent of available seats. How providers respond to current usage challenges could make or break the future of in-flight broadband. This report examines the in-flight broadband market, offering unique analysis including:
- Forecast of planes deployed and installation revenues
- Discussion of barriers to usage and possible solutions
- Competitive analysis of leading and emerging in-flight broadband providers including Aircell, OnAir, Panasonic, and Row 44
- Forecast of connects and usage revenues under several model assumptions
- Analysis of additional revenue opportunities including video and voice services as well as operational, e-commerce, and advertising revenues.
- Forecast of in-flight video (DBS and Internet-based) revenues
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