Boeing is admitting defeat. They are folding their Connexion unit, which offered high speed internet services on flights via a satellite broadband connection.
Only a few airlines had signed up for the service, and momentum wasn’t in Boeing’s favor. This move doesn’t come as a complete surprise – in June Boeing said that they were reviewing the future of the service.
Only 12 airlines, mostly Asia-based with a couple of European carriers, had signed up for the service. The cost to passengers was about $30 per flight or $10 for a half hour. American, United and Delta were about to start offering the service in 2001, but 9/11 ended those plans.
Though in-flight internet seems like a no-brainer, cellular networks are the preferred choice because they are cheaper and more promising. 560 people worked for Connexion, but most of them will find work somewhere else in the company.