Technology

Revolution in the Clouds: SpaceX and Amazon Engage in a Race for Air Supremacy

British Airways owner IAG plans internet upgrade for aircraft – Musk and Bezos push into aviation with their satellite networks

Eulerpool News Dec 25, 2024, 6:49 AM

The era of shaky in-flight Wi-Fi could soon be over. British Airways' parent company IAG is on the verge of a groundbreaking decision: Should Elon Musk's Starlink or Jeff Bezos' Project Kuiper provide high-speed internet to its fleet's passengers? It's not just about speed – it's about the future of travel.

Annalisa Gigante, Chief Innovation Officer at IAG, confirmed to Eulerpool: "We are working intensively with Starlink and Amazon's Kuiper. Next year we expect exciting innovations." Specifically, it is about replacing outdated, expensive, and often slow on-board Wi-Fi solutions with satellite-supported broadband networks. This could fundamentally change the way passengers experience the Internet above the clouds.

Satellites in Low Flight: A Market in Motion

Starlink, a subsidiary of Musk's SpaceX, has already made a name for itself with its global coverage and approximately 4 million users. The network of thousands of satellites in low Earth orbit promises speeds and stability that seriously compete with existing providers like Viasat and Gogo Inc. However, Starlink faces challenges: Certification for European airlines like British Airways and Iberia is more complicated than in the USA, where the Federal Aviation Administration (FAA) has already approved the service.

Giant remains cautious: "There have been many premature announcements. We want to ensure that we can implement everything we announce.

Bezos' Counter: Project Kuiper Takes Off

Jeff Bezos' counterattack should not be underestimated. Amazon plans to launch the first Kuiper satellites in early 2025. Even though Kuiper is still in its early stages, the tech giant's sheer financial power could play a role. Building the network will consume billions, but Amazon has proven it can revolutionize industries.

Why it's about more than just streaming above the clouds

The question is not only who provides the better internet. It's about prestige, technological dominance, and the trust of airlines. Airlines want not just bandwidth—they want long-term partnerships with providers that guarantee stability and innovation. Additionally, the pressure from passengers, who are used to ultra-fast internet from the ground, adds extra pressure.

Legacy providers in a tailspin?

Traditional providers like Viasat and Inmarsat, which recently merged, are fighting for their market shares. Analysts see them as market leaders in the short term, but the dynamics are changing. Starlink and Kuiper are pushing not only into aviation but also into the maritime sector and rural areas, thereby shaking the business model of the dominant players.

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