United Airlines takes off with Starlink: Revolution in in-flight internet announced

United Airlines has announced a groundbreaking partnership with SpaceX's Starlink to utilize its satellite technology for onboard Wi-Fi. As the first major US airline to do so, United becomes a prominent client of Elon Musk’s company. The test operation of the new service is set to begin early next year, with a comprehensive rollout on passenger flights scheduled for 2025, the companies stated in their announcement. Starlink will be available free of charge on all seatback screens and personal devices across United's fleet, which comprises more than 1,000 aircraft. In recent years, airlines have worked intensively to provide fast and reliable onboard Wi-Fi as a replacement for the often error-prone and unreliable previous solutions. Thanks to expanded satellite bandwidth, these internet experiences are increasingly approaching those available on the ground, which is crucial for both vacationers and business travelers. "Aviation was the last segment of the satellite connectivity market where Starlink had not emerged as a leader," said Louie DiPalma, an analyst at William Blair. "However, due to this historic deal, Starlink could achieve the largest market share in aviation within the next decade, likely leading to further contract signings." Viasat, currently one of United’s Wi-Fi providers, is likely to remain the market leader even in five years, owing to the industry's slow pace of change, DiPalma added. The implementation of Starlink on United's fleet is expected to take three years, while the necessary regulatory approvals are obtained. Therefore, the revenue contribution for Starlink in the next two years will be negligible. United’s shares rose by 0.9% in New York. Shares of broadband service providers Gogo and Viasat, which also offer onboard Wi-Fi services, recorded declines. Starlink is SpaceX's emerging project for space-based internet, consisting of over 6,300 satellites in low Earth orbit. These satellites work together to transmit broadband internet to the Earth. Unlike other satellite internet systems in significantly higher orbits, Starlink reduces latency due to the shorter signal distance from the ground to the satellites. In the US, only Hawaiian Holdings and charter flight provider JSX currently use Starlink. The service on United flights will enable access to personal streaming services, online shopping, and connection of multiple devices by a single user, while allowing real-time downloading, editing, and sending of documents, according to the companies. "Anything you can do on the ground, you will soon be able to do at 35,000 feet on a United plane," said United CEO Scott Kirby. United currently offers Wi-Fi services from multiple companies, including Panasonic, which ensures global connectivity on certain Airbus and Boeing aircraft. Viasat offers coverage in the US, Canada, Mexico, Central America, the Caribbean, and Europe. Thales SA covers the continental US market, while Intelsat’s Gogo serves domestic markets on United’s regional jets. Outside the US, Qatar Airways and Air Baltic currently use Starlink, while Air New Zealand and ZIPAIR Tokyo have already made agreements with the company.