Gogo|Satcom Direct renews three-year preferred supplier agreement with Luxaviation Group for global connectivity solutions

Rhea-AI Summary

Gogo Business Aviation (NASDAQ: GOGO) | Satcom Direct has renewed its three-year preferred supplier agreement with Luxaviation Group for global connectivity solutions. The new agreement expands upon their initial 2021 partnership, now including access to Gogo Galileo phased array antennas and North American Air-to-Ground connectivity network.

The deal provides Luxaviation customers with access to SD's hardware, including the SD Plane Simple terminal series, Software-as-a-Service applications, and 24/7/365 customer support. Customers will also benefit from connectivity supported by Gogo Galileo half-duplex, HDX, and full-duplex FDX phased array terminals.

Gogo|Satcom Direct offers multi-orbit connectivity through partnerships with major satellite operators including Intelsat, Viasat, and Eutelsat OneWeb, providing primary, backup, or supplemental service through GEO, LEO, or ATG technologies.

Positive

• Secured three-year renewal contract with major aviation operator Luxaviation Group
• Expanded service offering to include Gogo Galileo technology and North American network
• Partnership with multiple satellite operators enhancing service coverage and reliability

Negative

• None.

Insights

Aviation Technology & Business Analyst

The renewal and expansion of this three-year preferred supplier agreement with Luxaviation Group represents a strategic win for Gogo, reinforcing its position in the premium aviation connectivity market. This deal is particularly significant for several reasons:

• The agreement secures recurring revenue streams for three years from Luxaviation's fleet operations, providing stable, predictable income that investors typically value highly.
• The expanded scope, now including Gogo Galileo systems and North American ATG network access, demonstrates successful cross-selling opportunities following the Satcom Direct merger, validating the merger's strategic rationale.
• The multi-orbit connectivity offering (GEO, LEO, ATG) creates significant technological barriers to entry, as few competitors can match this comprehensive solution suite.

From a market perspective, this renewal signals strong customer satisfaction and helps cement Gogo's position in the European market. The ability to serve aircraft of all sizes with broadband connectivity represents a key competitive advantage, as it allows Gogo to capture market share across the entire business aviation spectrum.

The inclusion of 24/7/365 support services and future-proofed technology infrastructure suggests potential for high customer retention rates, which typically translates to stronger profit margins and reduced customer acquisition costs over time. This type of comprehensive service agreement also creates significant switching costs for customers, helping to protect Gogo's market position.

FARNBOROUGH, United Kingdom, Feb. 18, 2025 (GLOBE NEWSWIRE) -- Gogo Business Aviation (NASDAQ: GOGO) | Satcom Direct has signed a second three-year preferred supplier agreement with Luxaviation Group, continuing the close relationship first forged between the business aviation operator and Satcom Direct in 2021. The new deal provides even greater flexibility and resilience for Luxaviation, as it includes access to Gogo Galileo phased array antennas and its North American Air-to-Ground connectivity network, following the recent transaction combining the two connectivity providers.

Luxaviation Group will continue to benefit from the superior value delivered by SD’s hardware, including the SD Plane Simple terminal series, Software-as-a-Service applications, flight deck connectivity solutions, and 24/7/365 award-winning customer support. With the renewed agreement, Luxaviation customers will also be able to maximize the connectivity supported by the Gogo Galileo half-duplex, HDX, and full-duplex FDX phased array terminals, all from a single source.

“The Gogo|SD offering brings real value to our business and, more importantly, our customers by enabling us to deliver broadband connection, regardless of aircraft size. This service differentiation means we can support our customers’ seamless transition from digital life on the ground to the skies,” says Stuart Williamson, MD of Luxaviation Technical Services. “Customers expect to be connected all the time, and with this renewed agreement, we have the confidence that we can provide uninterrupted broadband to our customers wherever they travel. This is backed by the assurance that if a problem occurs, a human expert is at hand; this is invaluable for a company like ours where customer-centric service is at the core of all we do.”

Gogo|Satcom Direct facilitates seamless multi-orbit connectivity through its long-established relationships with major satellite operators, including Intelsat, Viasat, and Eutelsat OneWeb. It offers primary, backup, or supplemental service through GEO, LEO, or ATG, plus optimized service quality depending on customer requirements.

Dave Falberg, SVP Sales, EMEA APAC at Gogo|Satcom Direct, adds, “The expanded portfolio means we can help our customers curate multi-band, multi-orbit connectivity to support all their connectivity needs. All the technology has been purpose-built for business aviation and is future-proofed to ensure our customers can keep pace with the rapidly changing connectivity landscape. We are proud to continue providing world-class connectivity to the Luxaviation Group across its fleet of large, mid-range, and small business aircraft. Our existing relationship has demonstrated that we can meet and exceed their customer needs, and we look forward to supporting its customers now and in the future.”

Photo Caption: Gogo|Satcom Direct renews three-year agreement with Luxaviation

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About Gogo|Satcom Direct

The strategic transaction between Gogo Business Aviation and Satcom Direct created the only multi-orbit, multi-band in-flight connectivity provider offering connectivity technology purpose-built for business and military/government aviation. Uniting two industry-leading brands in December 2024 has developed an industry-leading product portfolio that offers best-in-class solutions for all aircraft types, from small to large and heavy jets and beyond.

As a combined organization Gogo|Satcom Direct uniquely incorporates broadband connectivity services via its Air-to-Ground network, together with satellite constellations, to deliver consistent, global tip-to-tail connectivity through a sophisticated suite of software, hardware, and advanced infrastructure supported by a 24/7/365 in person customer support team.

The merging of the two companies heralds a new era for inflight connectivity, setting new standards for reliability, security, and innovation in inflight connectivity. Gogo|Satcom Direct makes it easier for customers to stay connected beyond all expectations.

Media Contact - Gogo|Satcom Direct
Jane Stanbury – Arena Group
Jane@arenagroupassociates.com
+1 438 998 1668
+44 7803 296046

Cautionary Note Regarding Forward-Looking Statements

Certain disclosures in this press release include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, statements regarding our business outlook, industry, business strategy, plans, goals and expectations concerning our market position, international expansion, future technologies, future operations, margins, profitability, future efficiencies, capital expenditures, liquidity and capital resources and other financial and operating information. When used in this discussion, the words “anticipate,” “assume,” “believe,” “budget,” “continue,” “could,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “will,” “future” and the negative of these or similar terms and phrases are intended to identify forward-looking statements in this press release.

Forward-looking statements are based on our current expectations regarding future events, results or outcomes. These expectations may or may not be realized. Although we believe the expectations reflected in the forward-looking statements are reasonable, we can give you no assurance these expectations will prove to have been correct. Some of these expectations may be based upon assumptions, data or judgments that prove to be incorrect. Actual events, results and outcomes may differ materially from our expectations due to a variety of known and unknown risks, uncertainties and other factors. Although it is not possible to identify all of these risks and factors, they include, among others, our ability to effectively evaluate and pursue strategic opportunities.

Additional information concerning these and other factors can be found under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the Securities and Exchange Commission (the “SEC”) on February 28, 2024, and in subsequent Quarterly Reports on Form 10-Q as filed with the SEC on May 7, 2024 and August 7, 2024.

Any one of these factors or a combination of these factors could materially affect our financial condition or future results of operations and could influence whether any forward-looking statements contained in this report ultimately prove to be accurate. Our forward-looking statements are not guarantees of future performance, and you should not place undue reliance on them. All forward-looking statements speak only as of the date made and we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/84244970-d431-4d60-a396-4ce080c8a27f

FAQ

What is included in GOGO's renewed agreement with Luxaviation Group?

The renewed agreement includes access to Gogo Galileo phased array antennas, North American Air-to-Ground connectivity network, SD Plane Simple terminal series, Software-as-a-Service applications, and 24/7/365 customer support.

How long is GOGO's new contract with Luxaviation Group?

The new contract is a three-year preferred supplier agreement.

What satellite operators does GOGO partner with for connectivity services?

GOGO partners with Intelsat, Viasat, and Eutelsat OneWeb for multi-orbit connectivity services.

What types of connectivity does GOGO offer through the Luxaviation agreement?

GOGO offers primary, backup, or supplemental service through GEO, LEO, or ATG technologies, plus connectivity supported by Gogo Galileo half-duplex, HDX, and full-duplex FDX phased array terminals.