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Global In-flight Broadband Market: Business Models of Airlines Offering Premium Economy Class Solutions to Passengers to Drive Demand

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Published on : Nov 21, 2017

ALBANY, New York, November 21, 2017: The main factor behind the growing demand for internet connectivity is the surging requirement for large business jet cabins, significant growth of internet usage among passengers, and the business models of airlines offering premium economy class seat-centric solutions to the passengers. Almost all passengers like having Internet connectivity through WiFi that enables them to play online games or watch videos. Majority of the passengers are likely to use in flight WiFi services to surf the web, use social media apps, and access their email. The major factor propelling the demand for use of in-flight broadband is the increase usage of internet on mobile gadgets such as tablets, smart phones, and laptops. 

To enhance customer loyalty and satisfaction it is of utmost importance for air carriers to establish a productive environment for in-flight connectivity. It is advised that air carriers should collaborate with partners that majorly engage in mobile communication businesses so that they can provide their customers with in-flight broadband connectivity solution just like the passengers would experience on the ground. 

Asia Pacific is projected to be the largest region in the coming years in the in-flight broadband market. The increasing preference of people for air travel is driving the market in Asia Pacific An increasing number of Asian travelers are shifting to smarter and more comfortable travel attributes, where in-flight connectivity is a major requirement, especially for the younger generation. The analysts have predicted that several regional airlines will start offering in-flight connectivity solutions over the said forecast period, which will positively accelerate the growth in the global in-flight broadband market.

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Many prominent players are vying for better market shares in terms of satellite bandwidth capacity, costs, and technological innovation in the global in-flight broadband market. Several vendors are developing new technologies to make their product catchy in order to be competitive in such an environment. The global vendors are likely to strengthen their existence across the globe through mergers and acquisitions in the forecast period, leading to increased market consolidation. For better connectivity or high internet speeds many airline operators are also using strategies like the use of frequent flier miles.

On the basis of application, the market is segmented into narrow body, wide body and business jet. Of these, the narrow body segment is predicted to grow at a steady pace in the years to come. The penetration rate of in flight broadband in narrow body aircraft is increasing on average with connectivity platforms such as KU band HTS and L band. On the basis of service platforms, the market is segmented into Ku-band and HTS. The growing demand for multiple connected devices in the aircraft is resulting in the growth of a KU Band, which acts as a solution for airline operators and passengers. Three Ka-band satellites have been introduced by the GX network to offer a global bandwidth to airline customers. The increasing demand of passengers to access superior Internet services will propel the use of KU band connectivity.

Leading players within the global in-flight broadband market are studied in the report. They are: GEE, ViaSat, Gogo, SITAONAIR, Panasonic Avionics, Airbus, Zodiac Aerospace, and Rockwell Collins. The various strategies adopted by these players have also been revealed. The information on strategic collaborations, partnerships, and mergers and acquisitions has also been given in the report.

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