US aerospace giant Boeing is abandoning its Connexion division, which provides high-speed internet services on planes, after only a handful of airlines signed up.
'Over the last six years, we have invested substantial time, resources and technology in Connexion by Boeing,' chief executive Jim McNerney said in a statement. 'Regrettably, the market for this service has not materialised as had been expected,' he added.
Boeing said in June that it was reviewing the future of the service, which enabled passengers on Connexion-equipped flights to access the internet over a satellite-based broadband connection.
Only 12 airlines, mostly Asian carriers flying long-haul such as Japan Airlines, Singapore Airlines and Air China, had signed up for the service. In Europe, Lufthansa and Scandinavian Airlines had also subscribed.
For other carriers including in the US, mobile networks are seen as cheaper and more promising for a mass market of passengers wanting to go online in the skies.
Boeing said it expected that most of the 560-odd people employed by Connexion would find jobs elsewhere in the aviation group. But some redundancies are possible, company spokesman John Dern said.
