Boeing granted license for in-flight Web access

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By Lucas Mearian

(IDG) -- The Boeing Co. was granted a license by the Federal Communications Commission (FCC) last week to launch its new sky-high Internet service, even though the project has been delayed because the three airlines that had agreed to financially back the project pulled out after the September 11 attacks.

The FCC license for Connexion by Boeing is a first in the broadband satellite services industry. By paying an hourly fee, in-flight passengers would have access to the Internet, intranets, television and e-mail above U.S. territory and waters.

The Chicago-based airplane manufacturer lost its three primary partners in Connexion -- AMR Corp.'s American Airlines Inc., Delta Air Lines Inc. and UAL Corp.'s United Airlines Inc. -- after they suffered financial blows following a slowdown in travel after the September 11 terrorist attacks in New York and on the Pentagon. Germany's Lufthansa AG is the company's only active partner on the project.

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A spokesman for Boeing said today that Lufthansa is still on track to launch the Internet service in late 2002 or early 2003. The spokesman also said that Delta, American Airlines and United are still interested in the service and will participate in the first of a series of meetings beginning in January to define how the service should work.

"This FCC license is a big momentum builder for us in our effort to gain international regulatory approval," a spokesman said.

Scott Carson, president of Connexion by Boeing, said in a statement released Thursday that the FCC license marks "a new era for in-flight connectivity and further strengthens our efforts in the mobile economy."