Hughes Signs MoU to Join the Airbus HBCplus Program

Rhea-AI Summary

Hughes Network Systems has signed an MoU with Airbus to join the Airbus HBCplus program as a managed service provider (MSP) and Ka-band provider. This collaboration aims to enhance in-flight connectivity (IFC) services for airlines, promising high-speed, reliable connectivity for passengers globally. Hughes, a subsidiary of EchoStar (NASDAQ: SATS), will initially integrate its IFC services into the Airbus network with plans to explore other connectivity architectures such as Ku-band.

Positive

• Hughes joins Airbus HBCplus program, which could increase market reach.
• Partnership aims to provide high-speed, reliable in-flight connectivity, enhancing passenger experience.
• Initial focus on Ka-band integration with potential for future services in other bands like Ku-band.
• Hughes' reputation in network management could attract more airlines to use their services.

Negative

• Integration as an MSP in the Airbus network could encounter technical and logistical challenges.
• Potential high costs involved in adapting and maintaining new connectivity services.
• Uncertainty about the adoption rate of new services by airlines, affecting immediate revenue growth.
• Need to compete with existing providers in a crowded in-flight connectivity market.

Hughes Extends In-Flight Connectivity Services to Airbus Aircraft

HAMBURG, Germany, May 28, 2024 /PRNewswire/ -- (Aircraft Interiors Expo, Booth 2B70) – Hughes Network Systems, LLC (HUGHES), an EchoStar company (Nasdaq: SATS), has signed a Memorandum of Understanding (MoU) with Airbus to become a managed service provider (MSP) for the Airbus HBCplus catalogue offering to airlines.

"Reinventing IFEC is not just a goal; it's our mission," stated Reza Rasoulian, Senior Vice President of the Aviation Business Unit at Hughes. "Our collaboration with Airbus demonstrates our commitment to delivering high-speed, reliable, and uninterrupted connectivity to airlines and their passengers across the globe. This partnership is a testament to our ongoing efforts to provide airlines with access to top-tier connectivity, underpinned by the Hughes cutting-edge network management and service provisioning."

With both companies focused on providing airlines the flexibility they require to unlock the possibilities of In-Flight Connectivity, the agreement between Airbus and Hughes is a fusion of innovation and expertise. This MoU is the first step for Hughes toward integration into the Airbus network of MSPs as a Ka-band provider, extending the Hughes In-Flight Connectivity services to Airbus aircraft. Hughes and Airbus continue to explore opportunities for other connectivity architectures & services (including Ku-band provider).

For further details, please visit Hughes at the Aircraft Interiors Expo (AIX) booth 2B70 from May 28^th to May 30^th in Hamburg, Germany.

About Hughes

Hughes Network Systems, LLC, an EchoStar (Nasdaq: SATS) company, provides broadband equipment and services; managed services featuring smart, software-defined networking; and end-to-end network operation for millions of consumers, businesses, governments, airlines, and communities worldwide. The Hughes flagship internet service, Hughesnet®, connects millions of people across the Americas, and the Hughes JUPITER™ System powers internet access for tens of millions more worldwide. Hughes supplies more than half the global satellite terminal market to leading satellite operators, mobile network operators and military customers. Hughes products and services have helped bring in-flight video and broadband to thousands of aircraft for over twenty years. A managed network services provider, Hughes supports approximately half a million enterprise sites with its HughesON™ portfolio of wired and wireless solutions. To learn more, visit https://www.hughes.com/ or follow HughesConnects on X (Twitter) and LinkedIn.

©2024 Hughes Network Systems, LLC, an EchoStar company. Hughes and Hughesnet are registered trademarks and JUPITER is a trademark of Hughes Network Systems, LLC.

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SOURCE Hughes Network Systems, LLC

FAQ

What is the significance of Hughes signing an MoU with Airbus?

It enables Hughes to become a managed service provider for the Airbus HBCplus program, enhancing in-flight connectivity services for airlines.

How will this collaboration between Hughes and Airbus impact airlines?

Airlines will benefit from high-speed, reliable in-flight connectivity, improving passenger experience.

What is the stock symbol for Hughes' parent company EchoStar?

EchoStar's stock symbol is NASDAQ: SATS.

When and where was the MoU between Hughes and Airbus announced?

The MoU was announced on May 28, 2024, at the Aircraft Interiors Expo in Hamburg, Germany.

What are the future connectivity plans for Hughes under the Airbus partnership?

Hughes plans to explore other connectivity architectures including Ku-band services.