westjet should be announced this month as per the CEO.
GOGO has good chance of bagging in the contract since its infrastructure is getting ready in Canada and already up in U.S. air space.
Gogo and Inmarsat have signed an agreement that sees Gogo become a value added reseller for Global Xpress® (GX) in the Commercial Air Transport market. The world's first global Ka-band network will be provided through a constellation of three satellites and GX is scheduled to deliver full global coverage available by late 2014
"Through GX, Gogo will offer improved capacity, global coverage and significant cost advantages to its commercial airline customers. Optimized for mobile users, including the global aero market, GX will deliver download speeds of up to 50 megabits per second, powering in-flight solutions, affording a superior user experience for passengers and crew."
However there is a competitor who does wifi with satellite communication that works across in international airspace with geostationary satellites.
Have to wait and see whom they pickup, if westjet mgmt goes for longterm perspective they will pick GOGO, which is superior in all aspects.
Ravi22 - Who is the competitor and what is their market share compared to GOGO's market share?
Also, the fact the Gogo is partnering with Inmarsat on satellite coverage for COMMERCIAL air transport, wouldn't that imply that GOGO would also be offering passenger flight coverage for international flights? That's the biggie.
I can imagine 70% of people on an international flight would pay for access. A 10-12 hour flight would pass by so quickly if I had internet access.
When: This week (announcement is overdue).
Probability: Very high, like 99% -why would GOGO announce Canadian network on Jan 6th?
The announcement of the WestJet deal with GOGO was to be announced possibly before Christmas but if not, early in the new year (e.g. January). January has only two weeks left, so it's coming soon. The announcement should give the stock a $3.00 pop.
Read the articles on this potential GOGO announcement
Search for "CalgaryHerald" Westjet Gogo to find the article.
Also search for: mobilesyrup Westjet Gogo.
--Here is the Calgary Herald Article: --
CALGARY - E-mail at 40,000 feet will likely be a reality in 2014, with Calgary-based WestJet moving to become the first airline to offer inflight Wi-Fi service in Canada.
CEO Gregg Saretsky confirmed in an interview that WestJet is in the final phases of negotiations with an inflight Internet provider. He did not name the provider.
“We haven’t signed a contract yet, but we’re getting very close to the short strokes on that,” Saretsky said. “If we can get the last of the contract terms resolved quickly, it might be announced before Christmas. Otherwise, it will be early in the year.”
While inflight wireless services have become commonplace south of the border and on many international carriers, Canada’s domestic airlines have been slow to move on the matter. Air Canada does offer Internet connectivity on flights from both Montreal and Toronto to Los Angeles, but only while the planes are flying over U.S. air space.
In the U.S., inflight Internet provider Gogo — which provides service to carriers like Delta, Virgin America, American Airlines, and United, and is also used by Air Canada for its L.A. flights — uses special towers to beam a ground-to-air signal upwards. But until now, that infrastructure hasn’t existed in Canada.
However, last year, Gogo obtained Industry Canada approval to launch its service in Canada, and the company is now building a network of cell towers across the count