Gogo Inc (NASDAQ:GOGO) has announced that 2Ku Inflight Connectivity Solution has been selected as the preferred broadband service to be installed in a fleet of airplanes owned by Alaskan Airlines.
The company revealed that the 2Ku Inflight Connectivity solution will be installed in a fleet of Airbus and Boeing Co (NYSE:BA) passenger airplanes owned by Alaskan Airlines. Gogo’s solution is considered an industry leader in providing an internet experience that is up to par with what guests are used to on the ground. This includes access to popular video streaming services. The solution also provides global access, meaning customers will have internet coverage from the moment the planes take off to the moment they land.
“We are excited to partner with Alaska to bring their guests a new onboard connectivity experience with 2Ku,” stated Gogo’s president and CEO, Michael Small.
Small also pointed out that his company currently boasts of market leading satellite capacity and that it will continue to add to that capacity so that it can meet the growing demand. Andrew Harrison, the chief commercial officer at Alaskan Airlines stated that the airline company has carried out thorough testing of Gogo’s Wi-Fi solution. He also noted that the 2Ku Inflight Connectivity Solution proved to be a reliable service AND Alaskan Airlines is confident that it will meet the clients’ expectations well into the future.
Gogo is expected to install the connectivity solution in Alaska’s Boeing 737 aircrafts by the end of the first half of 2018. The company is expected to install the solution in 40 to 50 of the planes by the end of the year. The airline company’s remaining fleet is expected to be equipped with the solution by 2020. Alaskan Airlines hopes that Gogo’s Wi-Fi services will help improve customer satisfaction, thus making the airline more appealing to clients. The airline also recently announced that guests will have access to free chat and movies.
The financial terms of the partnership were not disclosed. However, such a deal is expected to contribute significantly to Gogo’s revenue growth and could potentially attract similar deals from other airline companies.
Gogo stock closed the latest trading session on Tuesday at $13.22.
