IFPL, Team Work, Airbus and Some Additional News
IFPL
As always, IFPL showed their flair for innovation in the peripherals marketspace during AIX. As many of you may remember, they announced a working relationship with Mirus Aircraft Seating at the 2016 APEX in Singapore for their USB A outlet. Not such big news you might say; however, this deal for AirAsia’s new Hawk slimline economy seating in their A320 fleet is now up and flying. This initial retrofit program is being followed-up by a line fit order for AirAsia’s new Airbus A320/A321neo aircraft. The new line fit order will also feature integrated high power 2A USB from IFPL. IFPL has been very excited to work alongside Mirus on this project as the company takes a different approach and really wants to ergonomically integrate technology into their seats. “How to make a seamless integration that was also ergonomical, was an exciting challenge for us,” said David Thomas of IFPL. “IFPL’s aim has been to provide world leading seamless seat integration, while maintaining a consistent design language and aesthetic. Our focus also ensures the ergonomics deliver a truly enhanced passenger experience. This has enabled us to reduce the complexity, weight and cost, therefore delivering a competitive advantage to the airline,” continued David. The USB-A product has been integrated into the Mirus seat arms while leveraging the KID Systeme’s power supply. IFPL also demonstrated their latest audio products: Long Life Audio jack with testing on 100,000+ insertions; their Rapid Fit technology for quick on-wing maintenance; an Integrated Noise Cancelling Audio Module; as well as their patented MagSignal technology that virtually eliminates Customer Induced Damage (CID). IFExpress always enjoys seeing the ingenious products that IFPL brings to the industry and this year’s AIX was no different. We are looking forward to seeing what they unveil at APEX in September. (Editor’s Note: IFPL also offers USB-C to the industry.)
AIRBUS
The first A330neo for launch operator TAP Air Portugal – MSN1819 – completed its 4:32 hours maiden flight. The aircraft now joins the fleet of two A330-900 test aircraft already performing flight tests since 19 October 2017. MSN1819 is the first aircraft fitted with the Airspace cabin by Airbus. It is equipped with light Flight Test Instrumentation during its test phase to check cabin systems such as air conditioning, crew rest etc.
With over 1,700 orders, the A330 is the most popular wide-body aircraft ever, performing nearly 1,000,000 flights every year. Today, more than 1,400 aircraft have been delivered to almost 120 customers worldwide on a wide range of routes, from domestic and regional flights to long range intercontinental services.
Offering the lowest operating costs in its category, and thanks to continuous investments in latest innovations, the new generation A330neo is the most profitable and best performing aircraft in its size category according to Airbus. The A330neo first delivery is planned in summer 2018. The A330neos will usher the brand-new Airspace by Airbus cabin concept, a consumer-centric cabin developed with passengers at heart and airlines in mind around the four pillars: Comfort, Ambience, Service and Design. These cabin options will ensure that the A330neos will set the benchmark in passenger experience and airline value, alongside its widebody partner, the A350 XWB.
WATCH: AFTERMARKET CONNECTIVITY OPPORTUNITIES
As we all know, the IFEC industry is duly focused on connectivity and how it will enable both the passenger and the airline to stay more connected throughout the journey. In fact, some are predicting that connectivity will double by 2019! But have we really looked at what that statement truly means for our industry and the customers served, whether that be airlines, the traveler, or both? The short answer is yes. Airframers, such as Airbus, Boeing, and Embraer certainly have ‘Aftermarket Visions’. The concept here is that historically within the aviation sector the supply chain has been vertically aligned and fragmented. In order to achieve cost efficiencies, the OEMs are bundling maintenance, flight ops, parts, engineering, modifications, training and various other packaged solutions in an effort to establish agile capabilities that can respond rapidly to their customer demands. In years past, many of these services were strictly after market and often performed by third party companies. Now the OEMs are leveraging their service capabilities to increase the value of the aftermarket – for their customers and themselves. Much of this is being accomplished via Big Data, working across the various value streams and utilizing data analytics to improve efficiencies and costs, thus benefiting their customers – the airline.
All of this is being facilitated by the rapid acceptance and installation of global aircraft connectivity. In a recent SITA IT Survey 37% of airlines who participated indicated they operate connected aircraft. While 45% are either operating or taking delivery of aircraft that have connectivity. Significantly, the survey established the importance of connecting aircraft to the ground in flight, with 71% stating they are investing in EFBs, this is an important indicator that airline managers are seeking to improve maintenance and operational efficiencies. The survey indicated that the percentage is slightly lower for providing Wi-Fi to passengers, while 49% of those participating indicated they are allocating funds to provide wireless services for crew – both cabin and flight deck. Perhaps this is fairly intuitive, if you have been around the IFEC industry over the last 4 or 5 years. However, what might not be so obvious is the move from ‘siloed’ industry alliances to alliances with important other synergies that enable increased efficiency.
A prime example is the Seamless Air Alliance that was announced on February 26, 2018. This is an alliance between Airbus, Delta, OneWeb, Sprint, Airtel and Gogo. “By empowering member mobile operators to extend their services into airline cabins, the Seamless Air Alliance will allow them to continuously provide their customers – via satellite technology – with the same high speed, low latency connectivity from ground, to air and back again. It will also significantly reduce costs for everyone involved while creating a smooth, positive user-experience. The alliance – which aims to attract additional industry operators beyond the five initial members – will eliminate the immense costs and hurdles commonly associated with acquisition, installation, and operation of data access infrastructure by streamlining system integration and certification, providing open specifications for interoperability, increasing accessibility for passengers, and enabling simple and integrated billing.” Other companies have diversified their portfolio through acquisitions to achieve the same outcome. IFExpress firmly believes that we will see more of these types of alliances and acquisitions in the coming months. If you wish to read more here are some additional links of interest:
http://www.mro-network.com/
YOU FIGURE IT OUT…
Both Airbus and Boeing commented on the latest WTC rulings and
they upheld that AIRBUS subsidies from the EU for the A350 and A 380 development programs were improper while those for the A320 and A330 were in full compliance. This will allow US to impose tariffs on imports from the EU to recoup (total unknown). Later this year, they will rule on Boeing. See if that’s what you get from their press releases:
AIRBUS
WTO confirmed: no prohibited subsidies at Airbus, minor elements of actionable subsidies to be addressed.
- “Repayable launch investment” confirmed as legal financing mechanism for aircraft development.
- WTO confirms compliance fully achieved on A320 and A330, remaining tweaks on A380 and A350 only minor.
- 94 percent of all US / Boeing’s original claims now dismissed by WTO
- Any potential US sanctions, now likely to be minor compared to what we expect on the European case against Boeing, would be counter-productive, ill-timed and ultimately harmful to the airlines and passengers
- Report is only “half the story.” Much more interesting part – on Boeing’s more egregious and competition-damaging subsidies – to come later this year.
- Only real solution to 15-year-long dispute remains a negotiated deal
BOEING
The World Trade Organization (WTO) today in its final decision found that the European Union (EU) has failed to honor multiple previous rulings and has provided more than $22 billion of illegal subsidies to European aircraft maker Airbus. After examining this case for more than a decade, the WTO has determined the EU must end its unfair business practices and remedy the ongoing harm caused by the illegal subsidies.
This landmark ruling by the WTO Appellate Body is the final decision in this case, which was initiated in 2006. Today’s decision ends the dispute and clears the way for the United States Trade Representative (USTR) to seek remedies in the form of tariffs against European imports to the United States.
The authorized tariffs are likely to total billions in duties per year, unless and until Airbus addresses the illegal subsidies it received from European governments for its most recently launched airplanes. It is anticipated that U.S. tariffs will be authorized up to the amount of annual harm this market-distorting tactic is causing. Tariffs could be scheduled as early as 2019. This is expected to be the largest-ever WTO authorization of retaliatory tariffs.
“Today’s final ruling sends a clear message: disregard for the rules and illegal subsidies is not tolerated. The commercial success of products and services should be driven by their merits and not by market-distorting actions,” said Dennis Muilenburg, Boeing chairman, president and CEO. “Now that the WTO has issued its final ruling, it is incumbent upon all parties to fully comply as such actions will ultimately produce the best outcomes for our customers and the mutual health of our industry. We appreciate the tireless efforts of the U.S. Trade Representative over the 14 years of this investigation to strengthen the global aerospace industry by ending illegal subsidies.”
The U.S. government, with Boeing’s full support, has complied with WTO rulings stemming from the two cases the EU brought against the United States. One case has already ended in favor of the United States, and in the other, the vast majority of the allegations the EU made against the United States and Boeing were dismissed. Where there were narrow rulings against U.S. practices, they have been fully addressed to the WTO’s satisfaction.
Just one finding against the United States now remains before the WTO, which concerns a Washington state tax measure. It is under appeal and should be decided later this year or in early 2019. Boeing believes that ruling will be reversed, but if not, Boeing has pledged to do whatever necessary to come into full compliance in the interest of upholding rules-based trade, which is essential to fairness and the future prosperity of the global aerospace industry.
OTHER NEWS
- Pre-Register to Visit AEE in Munich and Save on Entry Fee
- The folks at PDT do a really great job of summarizing shows and here is the link to the 2018 AIX Trend Report: If you did not go but need a summary for your boss, this one is perfect! Congratulations PDT (Astronics).
- With the US Supreme Court permitting gambling, we wonder which airline will deliver a seatback gambling version to make a few bucks?
- This newspaper headline says it all: “Passenger strips naked on an Alaskan Airlines flight from Seattle to Anchorage”
- We wondered when this was going to come along – Twelve South AirFly Lets You Connect AirPods To In-Flight Entertainment Systems, Gym Machines, More | Redmond Pie
The headset is the most critical part of any IFE system. It defines the quality of audio delivery and its look and feel defines the quality of the Airline. The headset is probably responsible for more passenger complaints, and IFE reliability issues than any other IFE component - so why do most airlines leave its procurement to the catering department?”