Telecommunications Industry News
Verizon Airfone Drops Out of FCC’s in-flight Broadband Auction
6:00 am on June 1, 2006 | Category: Business, Internet, Telecom Services, Wireless Technology
In a move that surprised most analysts, Oak Brook, IL-based Verizon Airfone has dropped out of the bidding for wireless airwaves that would have enabled it to provide wireless broadband service on airplanes.
Verizon Airfone was considered a leading contender in the FCC auction, which began on May 10, and is still in progress. After it’s resignation from bidding, however, the lion’s share of radio spectrum will quite likely be picked up by AC BidCo, a joint venture of satellite communication provider, AirCell Inc., and private equity firm, Ripplewood Holding LLC.
This auction represents a big step in the future of wireless communications in the U.S., where domestic flights have never had any kind of in-flight broadband service. Some international flights offer satellite-based communications, but air-to-ground links provided by the federal radio spectrum are expected to be much more efficient and less expensive to operate.
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Published by TeleClick Enterprises
Edited by Jeremy Maddock
