Japan Airlines Signs Agreement to be Asian Launch Customer for Connexion by Boeing
Airline Demonstrates Leadership by Providing Connectivity on International Routes
Japan Airlines (JAL) and Connexion by BoeingSM today announced the signing of a Letter of Intent that will make the industry-leading Asian carrier a significant new customer for the high-speed mobile information services provider.
The agreement calls for the market-leading broadband communication service to be installed on 10 of JAL's long-haul aircraft as part of the first step, with additional aircraft options for future expansion of the service. While model types for the initial service installations and their timing have yet to be determined, the primary focus for the initial installations will be the Japan-to-Europe route. Financial terms of the agreement were not disclosed.
During the announcement at the Farnborough International Air Show, Connexion by Boeing President Scott Carson lauded the leadership demonstrated by the agreement and its implications for airlines worldwide and for commercial airline passengers.
"The Asia-to-Europe route contains one of the highest concentrations of mobile, technology-focused travelers and also links two of the largest population sectors in the world," said Carson. "Japan Airlines is to be commended for embracing the added value that broadband connectivity can provide to its passengers, as well as the simplification that this breakthrough technology can bring to the operational side of their business," he added. "We are also pleased that JAL recognizes the benefit of being an early mover in further distinguishing their brand with a valued airline and passenger service."
"The needs of the business traveler for an in-flight IT environment are growing year by year. In our ongoing effort to offer the best customer value in the world, we believe it is essential to provide broadband/real-time, in-flight Internet connectivity," said Akihiko Kaji, Japan Airlines' Managing Director & Senior Vice President, Passenger. "To have this service available at the earliest possible date, JAL has decided to become the launch customer in Asia for Connexion by Boeing."
JAL executives have been active participants in the Connexion Working Together meetings where 15 global airlines have directly contributed to the development of an intuitive, customer-focused and service-ready connectivity solution for airline passengers worldwide. In the months ahead, Connexion by Boeing will work closely with JAL to define the level of services that will be offered to their international airline passengers.
The agreement with JAL builds on increasing momentum for Connexion by Boeing in the marketplace. Last month, British Airways joined leading German carrier Lufthansa as a customer for the innovative communications service solution.
"There currently is no comparable broadband service available for airlines and their passengers that can simultaneously support real-time Internet and e-mail connectivity, as well as the integrated, value-based operational applications that leading airlines are seeking," said Carson. "That's what truly sets us apart in the marketplace."
Connexion by Boeing is a mobile information services provider that is bringing high-speed Internet, data and entertainment connectivity to aircraft in flight. The service is currently available to the executive services market in the U.S., which includes operators of private and government aircraft. Connexion by Boeing also remains on track with leading European carrier Lufthansa to begin service demonstration in January 2003, followed by the commencement of service demos with British Airways in February 2003. For additional information, visit the
Connexion by Boeing web site.
Forward-Looking Information Is Subject to Risk and Uncertainty
Certain statements in this presentation contain "forward-looking" information that involves risk and uncertainty, including projections for new business and business opportunities; technology development; domestic, foreign and international regulatory and coordination success; total shareholder returns; market potential and revenue opportunities; wireless communication market behavior; revenue model, growth strategy, and other trend projections.
This forward-looking information is based upon a number of assumptions including the parties' ability to reach a definitive agreement; technological feasibility; government policies and actions, including domestic, foreign and international regulatory authorizations; access to spectrum and successful coordination with other users of spectrum; reliability of professional service providers and software; global economic, passenger and freight growth; current and future markets and demand for the Boeing's products and services; performance of internal plans; product performance; customer financing; customer, supplier and subcontractor performance; favorable outcomes of certain pending sales campaigns; government policies and actions; and successful negotiation of contracts with labor unions.
Actual future results and trends may differ materially depending on a variety of factors, including successful execution of the plans to develop and implement the services, technical difficulties and uncertainties associated with the internet and with mobile communications platforms, timing of delivery to market of the proposed services, changes in the market for the proposed services, successful execution of internal performance plans, including continued research and development; the actual outcomes of certain pending sales campaigns; acceptance of new products and services; product performance risks; the cyclical nature of the aerospace and internet businesses; volatility of the market for certain products and services; domestic and international competition in communication; uncertainties associated with regulatory certifications of products by the U.S. Government and foreign governments; other domestic and foreign regulatory uncertainties, including access to spectrum and successful coordination with other users of spectrum; collective bargaining labor disputes; performance issues with key suppliers, subcontractors and customers; governmental export and import policies; factors that result in significant and prolonged disruption to air travel worldwide; global trade policies; worldwide political stability; domestic and international economic conditions; the outcome of political and legal processes; legal, financial and governmental risks related to international transactions; legal proceedings; and other economic, political and technological risks and uncertainties. Additional information regarding these factors is contained in Boeing's SEC filings, including, without limitation, the Boeing's Annual Report on Form 10?K for the year ended 2001 and the Company's Form 10-Q for the quarter ended March 31, 2002.