Viasat to Enhance Business Aviation In-flight Connectivity with Uncapped Speeds, Expanded Capacity and Increased Network Prioritization

Rhea-AI Summary

Viasat Inc. (NASDAQ: VSAT) has unveiled major enhancements to its satellite network and service model for business aviation in-flight connectivity. The new JetXP program, initially available to Jet ConneX customers, offers uncapped speeds, expanded capacity, and increased network prioritization. This move comes in response to evolving customer expectations, shifting away from traditional speed-based plans to a focus on overall experience.

Viasat's 2024 survey revealed that reliability, coverage, consistency, value for money, and overall experience are now more important than speed alone. The JetXP program has shown positive results in customer trials, improving performance in applications like bulk file transfers, real-time entertainment, and web browsing. As the leading provider of in-flight connectivity, Viasat's services are activated on over 5,000 business jets globally, representing more than 70% of the satellite-connected market.

Positive

• Introduction of JetXP program offering uncapped speeds, expanded capacity, and increased network prioritization
• Positive initial results from customer trials showing improved performance
• Viasat's services activated on over 5,000 business jets, representing 70% of the satellite-connected market
• Harmonization of business aviation service offering following Inmarsat acquisition

Negative

• None.

Insights

Satellite Communications Expert

Viasat's JetXP program represents a significant shift in business aviation connectivity. By moving away from speed-based plans to a more holistic approach focused on overall experience, Viasat is addressing evolving customer needs. The introduction of uncapped speeds, expanded capacity and increased network prioritization for Jet ConneX customers could potentially improve in-flight productivity and entertainment experiences.

The emphasis on reliability, coverage, consistency and value for money aligns with industry trends. This approach could give Viasat a competitive edge in the $3.2 billion business aviation connectivity market. With a 70% market share in satellite-connected business jets, Viasat is well-positioned to leverage this new offering.

However, the success of JetXP will depend on Viasat's ability to deliver on its promises consistently across various flight routes and conditions. The company's integration of Inmarsat's technology and expertise following the acquisition could be a key factor in achieving this goal.

Business Aviation Analyst

Viasat's JetXP program is a strategic move that could reshape the business aviation connectivity landscape. By prioritizing user experience over raw speed metrics, Viasat is addressing a important pain point for operators and passengers alike. This shift could potentially increase customer satisfaction and loyalty in a highly competitive market.

The program's rollout to existing customers for trials demonstrates confidence in the product and provides valuable real-world feedback. This approach could accelerate adoption and help Viasat refine its offering. The involvement of key partners like Collins Aerospace, Honeywell and Satcom Direct in distribution strengthens Viasat's market position and ensures broad reach.

Financially, this move could lead to improved average revenue per user (ARPU) if Viasat can command premium pricing for enhanced service quality. However, the company must carefully manage the balance between network capacity and user demand to maintain service quality as adoption grows.

Jet ConneX customers will be the first to benefit from the ground-breaking JetXP enhancement program, which delivers a truly seamless experience and supports the market's shift away from empty speed promises

CARLSBAD, Calif., Oct. 9, 2024 /PRNewswire/ -- Viasat Inc. (NASDAQ: VSAT), a global leader in satellite communications, today unveiled a variety of ground-breaking enhancements to its satellite network and service model that will raise the bar for business aviation in-flight connectivity. Viasat's Jet ConneX customers will be the first to benefit from major performance improvements on selected plans, with the introduction of features such as uncapped speeds, expanded capacity and increased network prioritization.

Hundreds of existing customers are already trialing the enhancement program, titled JetXP, which has been developed following extensive consultation with customers, partners and research agencies, in addition to detailed analysis of usage trends over the past year. The research indicated that expectations around business aviation connectivity have evolved considerably. Traditional speed-based plans are now outdated, especially those that advertise a top-speed without details around when, where and how frequently it will be achieved. Instead, the business aviation industry has broadened its focus to the overall experience.

This sentiment was further reinforced by the results of Viasat's 2024 business aviation in-flight connectivity survey, which found that reliability, coverage, consistency, value for money and overall experience (including white-glove customer service and 24/7 global support) were deemed more important than fast speeds alone.

Initial results from JetXP customer trials have been extremely positive, highlighting an even better experience. This includes applications such as bulk file transfers, real-time entertainment and web browsing, which have traditionally performed strongly using Jet ConneX, but have become even more reliable, consistent and snappy.

Kai Tang, Head of Business Aviation at Viasat, said: "JetXP is the latest example of Jet ConneX's continuous evolution and offers an entirely different way of thinking, for Viasat and the market as whole. By enhancing our network and unleashing its full power to business aviation customers, we'll consistently meet a defined quality of experience across different applications, devices and flight routes, from the busiest airports to the most remote locations. And customer trials have already shown these are not empty promises; we have data to back our claims from hundreds of real operators on our live network.

"This marks a turning point. Until now, connectivity providers have used speed and allowances to determine which service plan a business aviation customer should be placed on, with complicated service level agreements that are often difficult to assess. However, this approach does not resonate with today's market. Customers are savvy enough to understand that speed alone will never meet their requirements and beyond a certain bandwidth threshold, higher speed has little impact on actual passenger experience. As the breadth and depth of criteria used to assess connectivity becomes more mature, the days of speed test decision-making are over. Operators are looking at the overall experience and that's where JetXP really excels."

JetXP marks an important step in harmonizing Viasat's business aviation service offering and network management strategy, following its acquisition of Inmarsat last year. The program combines the unique expertise, experience, technology and data of both companies, utilizing the aspects that were most beneficial to customers.

Tang continued: "JetXP is a unique proposition that could only be achieved following the coming together of Viasat and Inmarsat as two in-flight connectivity leaders in business aviation. Its due to the combination of our world-class technology, expertise and innovation, built over 35 years alongside our partner ecosystem, which includes business aviation's leading value-added resellers, OEMs and MROs."

As business aviation's leading provider of in-flight connectivity, Viasat's services are activated on more than 5,000 business jets around the world, representing more than 70% of the satellite connected market. Service plans for Jet ConneX are available through a global network of distribution partners, which consists of Collins Aerospace, Honeywell and Satcom Direct, with the added assurance of regular, incremental capacity enhancements and advanced onboard equipment upgrades in the years to come.

About Viasat
Viasat is a global communications company that believes everyone and everything in the world can be connected. With offices in 24 countries around the world, our mission shapes how consumers, businesses, governments and militaries around the world communicate and connect. Viasat is developing the ultimate global communications network to power high-quality, reliable, secure, affordable, fast connections to positively impact people's lives anywhere they are—on the ground, in the air or at sea, while building a sustainable future in space. In May 2023, Viasat completed its acquisition of Inmarsat, combining the teams, technologies and resources of the two companies to create a new global communications partner. Learn more at www.viasat.com, the Viasat News Room or follow us on Facebook, Instagram, LinkedIn, X or YouTube.

Copyright © 2024 Viasat, Inc. All rights reserved. Viasat, the Viasat logo and the Viasat Signal are registered trademarks in the U.S. and in other countries of Viasat, Inc. All other product or company names mentioned are used for identification purposes only and may be trademarks of their respective owners.

Forward-Looking Statements
This press release contains forward-looking statements that are subject to the safe harbors created under the Securities Act of 1933 and the Securities Exchange Act of 1934. Forward-looking statements include among others, statements related to the introduction of Viasat's JetXP in-flight connectivity experience plans on business aviation aircraft; the enhanced internet experience customers can expect, including the uncapped network speeds, expanded capacity and increased network prioritization. Readers are cautioned that actual results could differ materially and adversely from those expressed in any forward-looking statements. Factors that could cause actual results to differ include: our ability to successfully implement our business plan for our broadband services on our anticipated timeline or at all; risks associated with the construction, launch and operation of the satellite(s) used to supply these services, including the effect of any anomaly, operational failure or degradation in satellite performance; contractual problems; product defects; manufacturing issues or delays; regulatory issues; changes in relationships with, or the financial condition of, key suppliers; technologies not being developed according to anticipated schedules, or that do not perform according to expectations; and other factors affecting the aviation sector generally. In addition, please refer to the risk factors contained in Viasat's SEC filings available at www.sec.gov, including Viasat's most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date on which they are made. Viasat undertakes no obligation to update or revise any forward-looking statements for any reason.

 

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SOURCE Viasat, Inc.

FAQ

What is Viasat's new JetXP program for business aviation?

JetXP is Viasat's new enhancement program for business aviation in-flight connectivity, offering uncapped speeds, expanded capacity, and increased network prioritization to Jet ConneX customers.

How many business jets currently use Viasat's in-flight connectivity services?

Viasat's in-flight connectivity services are activated on more than 5,000 business jets worldwide, representing over 70% of the satellite-connected market.

What factors are now more important than speed for business aviation connectivity according to Viasat's 2024 survey?

Viasat's 2024 survey found that reliability, coverage, consistency, value for money, and overall experience are now deemed more important than fast speeds alone for business aviation connectivity.

How does the JetXP program address evolving customer expectations in business aviation connectivity?

JetXP addresses evolving expectations by shifting focus from traditional speed-based plans to overall experience, offering uncapped speeds, expanded capacity, and increased network prioritization to meet defined quality of experience across different applications and flight routes.