Something seems off about this. Yes, Gogo CEO Michael Small probably had to go. But shouldn't the company have chosen a new CEO with a background in telecommunications?
Airline in-flight entertainment systems never age well. They're expensive, and they're often heavy, so airlines burn more fuel having them on board. Why do they persist? Passengers — even those who bring their own devices — tend to like them. But can airlines keep installing these systems forever?
Maybe five years ago, it would have been bad news if an airline decided not to add in-seat screens. But times change, and many passengers prefer to watch content on their own screens. This is not a big deal.
Millions of passengers fly every day. Millions upon millions more will fly in the coming decades. All of them are active consumers. When you run the numbers, that’s a very attractive market for advertisers. If they get the mix right, and we get free Wi-Fi out of it, we may not even mind being sold to when we fly.
Tweeting threats from inside an aircraft is not a way to prove you have what it takes to keep aviation safe. But anyone with two fingers of sense knows that.
The Japan Airlines deal is a big development for Gogo as it involves satellite -- and not air to ground -- service, and marks its expansion beyond the U.S. and into Asia.