Boeing Puts In-Flight Internet Plans on Hold
Boeing Co.’s plan to form an in-flight Internet venture with the three largest U.S. airlines collapsed after the Sept. 11 terrorist attacks led to a slump in air travel.
Boeing halted talks with AMR Corp.’s American, UAL Corp.’s United and Delta Air Lines Inc., which tentatively agreed in June to take equity stakes in the venture.
Connexion planned to start equipping as many as 1,500 planes with e-mail and live television by late 2002.
Chicago-based Boeing remains committed to Connexion, with its other airline customer, Deutsche Lufthansa, proceeding with plans to test the service late next year or early in 2003, said Scott Carson, president of Boeing’s Connexion Internet division.
The U.S. airlines still may install the service as early as 2004, he said.
Boeing shares fell $1.33 to $34.17 on the NYSE.
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