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In-Flight Wi-Fi Market growth and what factors driving the industry as per New Research 2017

Author: Nikita Limkar
by Nikita Limkar
Posted: Dec 15, 2017

For all the woes, airlines have always delivered a brief digital detox – a valuable few time away from the gust of messages, emails and application notification. But this won’t happen anymore as in-flight, Wi-Fi is getting faster and cheaper, and is expanding at faster pace.

Working of In-flight Wi-Fi System

There are 2 ways to connect to a signal at 35,000 feet. One of them is through the ground-based mobile broadband towers that delivers signals up to an airplane’s antennas, which are generally fixed at the base of the fuselage. Another method utilizes satellite technology. Airplanes connect to satellite in geostationary orbit that sends and receive signals to earth through transmitters and receivers. These are satellites, which are used for transmitting television signals, covert military operations and weather forecasting.

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The antenna installed on the plane, which connects to nearest satellite signal, is used to transmit information from smartphones. All the information is passed through satellites from the ground to the plane. An on-board router is used to distribute the Wi-Fi signal to plane passengers. Considering both, the conditions, US has the more improved infrastructure than any other economy in the world. Therefore, US carriers provides better and cheaper Wi-Fi facility than that of in Europe.

This technology is improving at faster speed, however it has fought to keep up with the worldliness and total number of Wi-Fi-guzzling devices. In 2008, the in-flight broadband company, which then was named as Aircell introduced its first in-fligh Wi-Fi service on Virgin America plane. It was delivering 3 Mbps speed, which was sufficient for few laptops, provided that no video streaming was allowed. However, now, every passenger carrying at least one device to connect to countless apps, services, and websites, there’s too much larger strain on resources. Now a days, satellite connection provides nearly 12 Mbps. However, this technology is also lagging behind as the satellites are very expensive to maintain and to upgrade.

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Passenger’s Inclination towards Wi-Fi Enabled Aircraft to Fuel In-flight Wi-Fi Service Market

According to the UK communications regulator Ofcom, an average internet speed in UK houses had reached nearly 28.9 Mbps in 2016 which is far away for an airplane Wi-Fi network to catch up. Although quality of the in-flight Wi-Fi system is developing, there are several economies that still lack connectivity coverage, such as Oceania. It is said that the high quality broadband service in the sky will change the experience of the passengers. Travel time in the flight will feel shorter with the access to social media, internet, streamed entertainment and live TV. This will act as anti-boredom to leisure passengers and for business people, being more productive, while travelling. This revolutionary technology will bring airlines customer satisfaction, loyalty and market share. As per survey, 83% of passengers opt for airline with quality Wi-Fi service. This is likely to further fuel the growth of global in-flight Wi-Fi service market.

However, in-flight Wi-Fi system is expensive due to the expensive technology and antennas also drag, adding fuel cost to the airplane bill. These fees as well as engineering and maintenance cost are generally passed on to the passenger. The cost of in-flight connectivity differs between airlines, although several offers free trials

Companies Emphasizing on Making Wi-Fi Service Faster

After all this developments, still one question arises, is it possible for this Wi-Fi service to get faster in near future. The answer to this question is yes! Inmarsat, a communication firm is operating with Deutsche Telekom so as to create European Aviation Network (EAN), the high capacity Wi-Fi system supported by towers on the ground, which is going to provide an authentic broadband service with high bandwidth in the air around the Europe. EAN is poised to step in to commercial services from 2017. The British Airways has already reportedly signed up with them, so as to provide their passenger a high-capacity satellite Wi-Fi.

About the Author

Transparency Market Research (Tmr) is a market intelligence company, providing global business information reports and services.

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Author: Nikita Limkar

Nikita Limkar

Member since: Sep 14, 2017
Published articles: 244

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