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In-flight frequencies on the block

p2p news / p2pnet: The US Federal Communications Commission says it’s about to auction off frequencies for in-flight Internet service.

"Nine companies, including Verizon Airfone, which pioneered pay phones in the air, are expected to enter bids for the two licenses available," says the New York Times.

But the auction won’t, "advance the on-board use of conventional cellphones, which use other frequencies and are still prohibited in the air," says the story,.

"The winners of the auction, which could take several days to complete, would still have to persuade financially pressed American carriers to install their equipment. They would also have to figure out whether and how to divide the revenue that the technology may generate.

"Foreign carriers, including Lufthansa and SAS in Europe and Japan Airlines and Singapore Airlines in Asia, already offer an in-flight, high-speed Internet service called Connexion, developed by Boeing for its jets. The service typically costs $10 to $27 a flight per passenger."

However, "rules, costs and caution has prevented American carriers from expanding Internet use in their cabins." Says the NYT, adding, "Under financial stress, airlines are reluctant to spend hundreds of thousands of dollars on heavy communications equipment that could reduce fuel efficiency at a time when fuel prices are rising."

Also See:
New York TimesU.S. to Auction Frequencies for In-Flight Internet Use, May 10, 2006

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