SMARTSKY

SmartSky Networks announced that it has closed on more than $32 million in additional equity and debt funding as it prepares for the launch of its next-generation aviation Wi-Fi connectivity service later this year.

“In a display of confidence in the future of SmartSky’s groundbreaking technology and services, we received new funds from our institutional investors,” said SmartSky CEO David Helfgott.

SmartSky’s office-grade inflight Wi-Fi service for business and commercial aviation uses the pioneering company’s uniquely scalable, single-beam-per-aircraft approach, which is backed by a substantial patent portfolio and years of flight testing.  Building on this transformative capability, the company is enabling advanced new applications through Skytelligence®, its digital innovation platform, to improve safety and efficiency while providing the industry with new ancillary revenue sources.

 

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ASTRONICS

Astronics Corporation Reports 2020 Fourth Quarter and Full Year Financial Results
* Fourth quarter sales of $114.8 million; full year sales of
$502.6 million
* Fourth quarter pre-tax loss of $7.5 million and net loss of $20.0 million due to the non-cash reserve of $14.1 million against deferred tax assets
* Fourth quarter Adjusted EBITDA* was $2.9 million
* Fourth quarter bookings were $116.0 million, demonstrating sequential improvement
Backlog at end of the year was $283.4 million

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BOEING

Boeing Statement on United Airlines Flight 328:

“Boeing is actively monitoring recent events related to United Airlines Flight 328. While the NTSB investigation is ongoing, we recommended suspending operations of the 69 in-service and 59 in-storage 777s powered by Pratt & Whitney 4000-112 engines until the FAA identifies the appropriate inspection protocol. “Boeing supports the decision yesterday by the Japan Civil Aviation Bureau, and the FAA’s action today to suspend operations of 777 aircraft powered by Pratt & Whitney 4000-112 engines. We are working with these regulators as they take actions while these planes are on the ground and further inspections are conducted by Pratt & Whitney. “Updates will be provided as more information becomes available.”

Also from Boeing:

The Boeing Company board of directors announced that directors Arthur D. Collins Jr. and Susan C. Schwab will retire from the board when their terms expire and will not stand for reelection at the company’s Annual Meeting of Shareholders. The board also named chairs to its six board committees, to take effect following the yearly voting for the election of directors at Boeing’s annual shareholder meeting, which is scheduled to occur on April 20. “We are grateful for Art and Susan’s distinguished service on our board,” said Boeing Chairman Larry Kellner. “Boeing has benefited enormously from their committed and dedicated service.” Collins joined the board in 2007 and most recently chaired the Compensation Committee and served as a member of the Governance, Organization and Nominating Committee. Schwab joined the board in 2010 and most recently served as a member of the Compensation Committee, and the Governance, Organization and Nominating Committee. “It has been a privilege to serve alongside Art and Susan,” said Boeing President and CEO David Calhoun. “They made meaningful and lasting contributions to our company, and to the aerospace industry, which is foundational to the global economy.”
“In line with our thorough succession planning process, the board will continue to take steps to identify a pipeline of diverse candidates with appropriate expertise who bring qualified perspectives,” Kellner added.

In addition, the following directors were named committee chairs, effective upon their reelection to the board at the company’s Annual Meeting of Shareholders:

• Admiral Edmund Giambastiani Jr. will continue to chair the Aerospace Safety Committee
• Akhil Johri was named chair of the Audit Committee
• Lynn Good was named chair of the Compensation Committee
• Robert Bradway was named chair of the Finance Committee
• Ronald Williams was named chair of the Governance, Organization and Nominating Committee
• Adm. John Richardson will continue to chair the Special Programs Committee.

 

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OTHER NEWS

• There are issues in aircraft manufacturing and you might want to read: Opinion: Will Boeing Become The Next McDonnell Douglas? | Aviation Week Network Be sure to read the reader comments …
• AVIATION CYBERSECURITY – FAA Should Fully Implement Key Practices to Strengthen Its Oversight of Avionics Risks. Check it out here.
• Do you read daily AXIOS Navigate? You might like it. Axios Navigate
• If you don’t think aircraft noise is a concern, you might want to read this: How Noise Pollution Hurts the Heart – The Atlantic
• George Denis Patrick Carlin (You know, George Carlin, the comedian) once said something very technical that is quite true: “Electricity is really just organized lightning.” (Editor’s Note: We are still trying to understand why we thought you needed to read this?)

SmartSky Networks has been busy. First, the company announced their collaboration with Snowflake Software in early April. The collaborative effort between the two companies will occur through SmartSky’s Skytelligence Aviation Data Marketplace. In case you don’t know about Skytelligence, it is an open marketplace for shared data and services that powers transformation by eliminating the need for multiple contracts, complex integrations, and high upfront capital costs. Snowflake Software provides secured data access to the latest fused and validated aviation data from its Laminar Data Hub cloud platform through Skytelligence, which facilitates application developers to rapidly deploy and simplify the support of aviation-based applications.

The continued growth of available aviation data has software developers and service providers eager to deliver innovative services, optimize operations and improve the inflight experience. Skytelligence is an open marketplace for shared data and services that powers this transformation by eliminating the need for multiple contracts, complex integrations, and high upfront capital costs. Snowflake Software has provided secured data access to the latest fused and validated aviation data from its Laminar Data Hub cloud platform through Skytelligence. This access allows application developers to rapidly deploy and simplify the creation and support of aviation-based applications.

Through comprehensive data ownership and privacy controls, Skytelligence promotes and enables widespread access to external data and algorithms across platforms which had previously remained elusive due to the lack of standards and inflexibility of legacy aviation IT systems. This lack of common standards results in extensive normalization efforts increasing both the time and cost for application developers getting to market. Skytelligence accelerates innovation through efficient access to the industry’s leading APIs and data, enabling application developers and service providers to capture new revenue opportunities and reduce costs through enhanced passenger experiences and optimized operations.

“Providing access to Snowflake’s Laminar Data Hub through Skytelligence supports our goal of connecting the aviation ecosystem to an integrated set of public, private and proprietary data, as well as services through the network-independent software framework. Now the brightest minds in the aviation community are empowered to build applications that transform the flying experience, mitigating flight delays and minimizing maintenance costs,” said one SmartSky representative.

Furthermore, they have announced that they have initiated the final site completion phase of its next generation Air-to-Ground (ATG) network for business and commercial aviation, launching later this year. SmartSky’s airborne network, which began its nationwide deployment a few years ago, incorporates many 5G wireless technologies that have been experienced during a large number of highly successful inflight demonstrations for the media and market. The company’s unique technology has received the critical threshold regulatory certifications from the Federal Aviation Administration and the Federal Communications Commission.

SmartSky uses 5G technology broadly and the network’s future-ready design can incorporate advancements appropriate for ATG as those technology upgrades become available. We were told that their aviation network already includes many 5G components/features like those being used in new terrestrial network builds. Here are some examples: Software Defined Radios, Network Slicking, Low Latency Architecture, Network Function virtualization, Beam-forming, Primary Internet Gateway Relocation.

SmartSky states that they offer the most compelling user experience to the aviation traveler because of the dedicated secure signal to each aircraft from their patented single-beam-per-aircraft network architecture that eliminates the noise and congestion other networks typically experience.

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EUROPEAN AVIATION NETWORK
The European Aviation Network (EAN), the fastest inflight broadband service in Europe, is now being offered by airlines to more than 30,000 passengers across the continent each day, allowing them to seamlessly browse the internet, stream videos, check social media, enjoy real-time interactive gaming, and more during flights. Currently under a ‘soft launch’ phase with initial airline customers, the award-winning connectivity solution can already be accessed on more than 100 routes from key destinations such as London, Madrid, Barcelona, Athens, Lisbon, Prague, Rome and Vienna. To date, almost two million passengers have traveled on flights with access to EAN. Building upon unique European infrastructure, EAN marks a paradigm shift in the airline passenger experience for the continent, with incomparable speeds, uninterrupted coverage and significantly lower latency than any other inflight broadband network in the market. Philip Balaam, President of Inmarsat Aviation, said: “EAN has established an unprecedented new benchmark for inflight broadband, not only in Europe but on a global basis. It combines the expertise of Europe’s most innovative companies to provide best-in-class connectivity unmatched by any other solution. We have been working with our initial airline customers to monitor and fine-tune the service during their soft launches before it’s rolled out on their wider fleets. We are extremely pleased with the initial response from both the airlines and their passengers, which is testament to the important role EAN is already playing in the European aviation industry. This vision of a unique, pan-European high-speed inflight connectivity network is being deployed with advanced infrastructure in the skies and on the ground.”

Developed by Inmarsat and Deutsche Telekom (DT) in partnership with leading European companies such as Thales, Nokia, Airbus, Cobham and EAD Aerospace, EAN has been designed from scratch specifically for the needs of European aviation. It delivers consistent inflight broadband across Europe, one of the world’s most congested airspaces, with more than one billion passengers and 11 million flights per year. For airline customers, EAN also offers the fastest ever installation time for a connectivity solution, requiring under nine hours per aircraft, meaning significantly less downtime. Combined with the system’s low weight, low drag and low maintenance, this results in lower overall operation costs.

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AIRBUS
Indonesian carrier Lion Air received its first A330-900, becoming the first airline from the Asia-Pacific region to fly the A330neo. The aircraft is on lease from BOC Aviation and is the first of 10 A330neos set to join the airline’s fleet. The A330neo will be used by Lion Air for non-stop long-haul services from Indonesia. These include pilgrimage flights from cities such as Makassar, Balikpapan and Surabaya to Jeddah and Medina in Saudi Arabia. The flight time for such routes can be up to 12 hours. Lion Air’s A330-900 is configured for 436 passengers in a single-class configuration. The A330neo is the true new-generation aircraft building on the most popular wide body A330’s features and leveraging on A350 XWB technology. Powered by the latest Rolls-Royce Trent 7000 engines, the A330neo provides an unprecedented level of efficiency – with 25% lower fuel burn per seat than previous generation competitors. Equipped with the Airbus Airspace cabin, the A330neo offers a unique passenger experience with more personal space and the latest generation in-flight entertainment system and connectivity.

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BOEING
Boeing announced it will recognize an impact to earnings when it releases second-quarter 2019 results on July 24.
Boeing will record an after-tax charge of $4.9 billion1 ($8.74 per share) in connection with an estimate of potential concessions and other considerations to customers for disruptions related to the 737 MAX grounding and associated delivery delays. This charge will result in a $5.6 billion reduction of revenue and pre-tax earnings in the quarter. While the entire estimated amount will be recognized as a charge in the second quarter, the company expects any potential concessions or other considerations to be provided over a number of years and take various forms of economic value. Additionally, Boeing’s estimated costs to produce the aircraft in the 737 accounting quantity increased by $1.7 billion in the second quarter, primarily due to higher costs associated with a longer than expected reduction in the production rate. The increased 737 program costs will reduce the margin of the 737 program in the second quarter and in future quarters.

Boeing continues to work with civil aviation authorities to ensure the 737 MAX’s safe return to service, and these authorities will determine the timing of return to service. For purposes of the second-quarter financial results, the company has assumed that regulatory approval of 737 MAX return to service in the U.S. and other jurisdictions begins early in the fourth quarter 2019. This assumption reflects the company’s best estimate at this time, but actual timing of return to service could differ from this estimate. The second-quarter financial results will further assume a gradual increase in the 737 production rate from 42 per month to 57 per month in 2020, and that airplanes produced during the grounding and included within inventory will be delivered over several quarters following return to service. Any changes to these assumptions could result in additional financial impact.
“We remain focused on safely returning the 737 MAX to service,” said Boeing Chairman, President and CEO Dennis Muilenburg. “This is a defining moment for Boeing. Nothing is more important to us than the safety of the flight crews and passengers who fly on our airplanes. The MAX grounding presents significant headwinds and the financial impact recognized this quarter reflects the current challenges and helps to address future financial risks.”

Boeing Chief Financial Officer and Executive Vice President of Enterprise Performance and Strategy Greg Smith added, “We are taking appropriate steps to manage our liquidity and increase our balance sheet flexibility the best way possible as we are working through these challenges. Our multi-year efforts on disciplined cash management and maintaining a strong balance sheet, in addition to our strong and broad portfolio offerings, are helping us navigate the current environment.” Boeing’s previously-issued 2019 financial guidance did not reflect impacts related to the 737 MAX. Due to the uncertainty of the timing and conditions concerning 737 MAX return to service, new guidance will be issued at a future date.

Boeing will issue its full second-quarter earnings release on July 24 and discuss the company’s financial results and outlook, including impact of 737 MAX grounding, during a conference call that day.

On another note, Boeing also announced that it has dedicated $50 million of a previously announced $100 million fund to provide near-term financial assistance to families of the victims of the Lion Air Flight 610 and Ethiopian Flight 302 accidents. Boeing also announced that it has retained Kenneth Feinberg and Camille Biros, renowned experts in establishing and overseeing victims’ compensation funds, to design and administer the fund. The $50 million fund represents the initial expenditure of a $100 million pledge by Boeing to address family and community needs of those affected by the accidents. All monies distributed by Mr. Feinberg and Ms. Biros will be independent from any resolution provided through the legal process.

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OTHER NEWS

• Approximately 50 years ago, the Apollo 11 Mission ran into a computer problem on the moon lander module. A glitch that, at the time, was unclear as to the cause. However, we now know why.  Neil Armstrong manually landed the module and we now know what happened! An Engineer On Apollo 11 Explains What Really Caused The Infamous Computer Error – Digg
• Airport food too expensive? Here is why – Why is airport food so expensive?
• You had probably better learn about neurotrophic systems as they are 100 times faster than standard CPU’s and 10,000 times more efficient. And no, we really don’t understand the technology yet, but you had better. Intel’s Neuromorphic System Hits 8 Million Neurons, 100 Million Coming by 2020 – IEEE Spectrum And if you find out some better information, we would be interested!
• Flight bumped? Here are some benefits – What to Ask For When You’re Bumped From a Flight
• You probably thought Artificial Intelligence was most important? Well, perhaps, Artificial General Intelligence is more important. Microsoft’s CEO Staya Nadella said: “The quintessential characteristic for any application being built in 2019 and beyond will be AI.” Microsoft said that it would invest $1 billion in artificial-intelligence startup OpenAI LP, as the software giant seeks to enhance its Azure cloud-computing platform. Perhaps, aviation will benefit from the cloud solutions–we will see. Microsoft wants to build artificial general intelligence: an AI better than humans at everything – Vox

Pleinfeld, Germany | March 28, 2019–

Research Triangle, North Carolina | February 5, 2019– The aviation industry’s transformative inflight internet provider, SmartSky Networks, announces the closing of a total of $104M in funding, including $75 million in debt commitments from funds managed by the Global Credit team at BlackRock and equity investments by private equity firms Tiger Infrastructure, WP Global, Platform Partners, and Meritage Investors. The funds will be used in the on-going rollout of SmartSky’s nationwide air-to-ground network. With this new round of financing, SmartSky has raised almost $350M in funding to date. The company is advised by Allen & Company LLC.

“This investment represents an expression of confidence in SmartSky by these sophisticated investors, including some of the most highly regarded institutions in the world,” said SmartSky CEO Haynes Griffin, “and comes only a few days after the announcement of our first commercial aviation customer. Both of these milestones were preceded by firsthand flight trials which demonstrated conclusively to these partners the ability of SmartSky’s blazing-fast, affordable two-way internet connectivity to fundamentally transform aviation.”

Last week, CEO Alex Wilcox of JetSuiteX, a rapidly growing regional air carrier, stated, “After a rigorous selection process including my personal inflight evaluation, we chose SmartSky’s state-of-the-art, high-speed technology because it delivers the most compelling user experience.”  

SmartSky’s first-of-its-kind, real-time system provides over ten times the speed of legacy airborne connections and is the most secure and affordable inflight internet solution available. The ground-based components of the system are being deployed throughout the contiguous United States using a mix of 4G LTE and emerging 5G technologies, similar to some of the recent improvements in terrestrial cellular networks. The inflight connectivity network will be commercially available later this year.

Charlotte, N.C. | May 30, 2018–SmartSky Networks, a next-generation airborne communications provider, today announced that Nancy Walker has joined the company in the newly created role of Chief Commercial Officer. Walker’s vast knowledge of the inflight connectivity (IFC) industry, coupled with her wealth of aerospace business development and avionics engineering experience, will position her to make an immediate and valuable contribution to SmartSky. With the company’s 4G LTE air-to-ground network well into its national roll-out phase, Walker will lead SmartSky’s network-related sales and marketing efforts across various verticals, including business and commercial aviation.

“Nancy’s experiences and skills are a perfect complement to the existing SmartSky executive team. Her unique background enables her to understand the intricate details and interdependencies of IFC system engineering, program management, contracts, customer service, and customer support,” said Ryan Stone, president of SmartSky Networks. “Our partners and customers alike will appreciate her ability to distill this complexity into an easy to understand form, to improve our communications with them, to better understand and address their pain points, and most importantly, to help them succeed.”

Walker is an aviation industry veteran with more than 30 years of aerospace technology and IFC experience. She most recently served as a senior portfolio manager for Leonardo DRS, where she was responsible for acquisition and execution of a large $100M+ assortment of programs in support of ruggedized network computing systems for U.S. defense and international military customers. Previously, Walker held various positions of increasing responsibility in technical, programmatic, leadership, and business development areas at NASA, Harris, LiveTV, and Thales.

“I am very excited to help shape the future of aviation by joining the innovative team at SmartSky,” said Walker. “My experience in launching new IFC products and services, obtaining STCs and linefit, and establishing appropriate customer care will allow me to support and fulfill the unique connectivity requirements of SmartSky’s partners and customers.”

Walker holds a Master of Science in engineering management and a Bachelor of Science in electrical engineering from Florida Institute of Technology. She resides in Melbourne, Florida.

This past week has presented the industry with a lot of news, especially with the Singapore Air Show underway. In fact, there is too much data to cover in one issue. As a result, next week IFExpress will sum up some of the Airbus and Boeing news (and there is a lot). Here are some of the highlights for this week:

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Panasonic

Panasonic Avionics Corporation and Kenya Airways have today announced an agreement to provide inflight entertainment (IFE) services and passenger technical solutions for 24 of the carrier’s narrowbody and widebody aircraft. The agreement includes ten Embraer 190 aircraft line-fitted with Panasonic Avionics’ eFX IFE system, five Boeing 737-800 aircraft fitted with eX1 and nine Boeing 787-8 aircraft equipped with eX3.

Kenya Airways is a leading African airline flying to 53 destinations worldwide, 42 of which are in Africa. It carries over three million passengers annually. Kenya Airways continues to modernize its fleet with its 36 aircraft being some of the youngest in Africa, including its flagship Boeing 787 Dreamliner aircraft. From the IFE perspective, eFX delivers entertainment and productivity tools including music, movies, games, TV series, destination presentations and a moving map in a single-aisle package. eX1 is Panasonic’s most advanced linefit IFE system for single-aisle aircraft. Its high-definition display technologies and surround sound audio create a home theater atmosphere that draws passengers into an immersive entertainment experience. Further, the eX3 system is capable of delivering more than 700 hours of on-demand audio and video entertainment. It offers excellent picture quality with enhanced color and contrast features.

Panasonic Technical Services will provide materials support solutions with technical advisory support to all aircraft. The aforementioned solutions have been customized in consultation with Kenya Airways to deliver optimal IFE spares operations coupled with onsite IFE support for maintenance operations. Sean Gavin, Vice President of Panasonic Technical Services at Panasonic Avionics Corporation, says: “Having worked very closely with Kenya Airways to develop a customized package to fit their needs for both narrow-body and wide-body aircraft, we are delighted to welcome them as a Panasonic customer. Our world-class IFE systems will offer the airline and its passengers an unrivaled and memorable entertainment experience.”

Panasonic Avionics told IFExpress that it offers a comprehensive solution to meet every airline’s needs for seatback, wireless, linefit and retrofit systems. For passengers, Panasonic solutions deliver an amazing home theater entertainment experience that includes HD content, games, applications, communications, and much more. For airlines, the inflight system is the foundation of a business platform that amplifies their brand.

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SmartSky

SmartSky’s best-in-class, future-ready airborne network got a boost from the Federal Aviation Administration (FAA). Avidyne Corporation, SmartSky’s avionics manufacturing partner, was awarded the first supplemental type certificate (STC) that provides for the installation and operation of a SmartSky 4G LTE system, in this case, on a Cessna Citation Excel. Avidyne CEO Dan Schwinn stated, “With this pioneering first STC in hand, we expect to receive Parts Manufacturer Approval (PMA) from the FAA shortly. PMA is the catalyst for SmartSky’s partners to complete their STC commitments on many other popular business aircraft, and that then enables customers to install and use the system.” SmartSky expects these follow-on STCs to begin to be available this summer. That timing aligns well with the planned completion of the majority of the network coverage expansion effort currently underway across the continental United States.

Here’s the reason we are watching SmartSky – their patented beamforming technology delivers multi-gigabyte per hour data throughput at the industry’s lowest latency, both to and from an aircraft, setting a new airborne performance standard, all at the lowest cost per bit. “The recent FAA approval of the SmartSky 4G LTE-based network equipment is a clear indication of the fast pace in which the in-flight connectivity market is evolving,” says Nate Klenke, Modifications Sales Manager for Duncan Aviation in Lincoln, Nebraska. “We are excited to offer the SmartSky solution to our clients as one of their options for in-flight connectivity.”

SmartSky’s 4G LTE-based network has been live since 2017 and coverage expansion remains on track to support launching service nationwide in 2018. The long lead-time steps of onsite viability testing, permitting and backhaul-connection have all been completed at over 96% of the planned nationwide ground sites. More than 40% of those sites are already in their final stages of deployment or are already on air.

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Thales

Passengers of Garuda Indonesia, the country’s flag carrier, can look forward to an all new and enhanced passenger experience with Thales AVANT IFE System on board the carrier’s A330neo aircraft. Garuda’s choice of Thales’ IFE system will help drive the airline’s strategic positioning to attract more passengers as Indonesia expects to see a double-digit increase in passenger growth this year.

• Garuda Indonesia equips 14 A330neo aircraft with Thales AVANT IFE.
• Thales and Garuda announce their partnership at the Singapore Airshow. The agreement is a first for both industry leaders.
• AVANT IFE features a powerful full high definition monitors for business and economy class passengers. Business class travelers will also enjoy the Avii touchscreen handsets.

Next we note that, Airbus sees the Asia Pacific region as the most crucial in the world. In its 2017-2036 Global Market Forecast they predict demand will range from 6,100 aircraft by 2026 to 14,200 by 2036, with 41% of these fulfilled by new deliveries. Building and delivering new aircraft is however only one piece of the puzzle for an OEM like Airbus. A whole host of ancillary operations have to be put in place to ensure this fleet expansion is operationally viable for the long term. Chief of which is the complex interplay of MRO needed to keep this massive fleet flying. This requires not only on the ground expertise but a network of partnerships with trusted suppliers who can deliver on time and on budget MRO wherever an Airbus jet flies. Readers should note the following:

• Thales will be Airbus’ subcontractor for MRO across Asia-Pacific for repair of all avionics components on Airbus’ single-aisle, long-range and A350 aircraft for seven years.
• Repairs will be carried out from the Thales regional MRO hub in Singapore, the largest of the group’s three repair HUBs which services over 40k components per annum.
• The Asia Pacific region is recognized by Airbus as a strategic nerve center for growth in the next 15 years with demand for new aircraft more than doubling by 2036.

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Airbus

Airbus’ first A321LR (Long Range), MSN7877, has accomplished its maiden flight following a mission lasting 2 hours and 36 minutes. The aircraft powered by CFM Leap-1A engines is now set to undergo a nearly 100 hour flight test program, including trans-Atlantic missions, for EASA and FAA Type Certification in Q2 2018. Entry into service is targeted for Q4 2018. During the flight, the crew tested the aircraft’s flight controls, engines and main systems including flight envelope protections, both at high and low speed.  Klaus Roewe, Head of A320 Program stated: “Thanks to its outstanding performance and unbeatable efficiency, the A321LR will allow our customers to perform flights of up to 4,000nm, allowing them to open new routes – for example transatlantic – and conquer new markets.”

The A321LR features a new door configuration, enabling its operators to accommodate up to 240 passengers in Airbus’ widest Single Aisle fuselage in the sky. The new Airspace by Airbus cabin available on the A320 Family additionally enhances the passengers’ unrivaled travel experience. With further options, combining an increased Maximum Take Off Weight (MTOW) of 97 tonnes and a third Additional Centre Fuel Tank (ACT), the aircraft’s range extends to 4000nm (7400 km), allowing airlines to tap into new market opportunities. The A321LR’s new door configuration, enabling its operators to accommodate up to 240 passengers in Airbus’ widest Single Aisle fuselage in the sky. The new Airspace by Airbus cabin available on the A320 Family additionally enhances the passengers’ unrivaled travel experience. With further options, combining an increased Maximum Take Off Weight (MTOW) of 97 tonnes and a third Additional Centre Fuel Tank (ACT), the aircraft’s range extends to 4,000nm (7,400 km), allowing airlines to tap into new long range market opportunities.

Incorporating the latest engines, aerodynamic advances, and cabin innovations, the A321neo offers a significant reduction in fuel consumption of 20 percent by 2020. With more than 1900 orders received from over than 50 customers, to date the A321neo has captured a solid 80 percent market share, making it the true aircraft of choice in the Middle of the Market.

The aircraft is now set to undergo a nearly 100 hour flight test program, including transatlantic missions, for EASA and FAA Type Certification in Q2 2018. Entry into service is targeted for Q4 2018.

On another note, Airbus has been testing and using the SLS (Satellite Landing System) and you aviation tekkies need to get up to speed on this one. We note that the final approach segment is equivalent to a ground-based ILS beam! Here is a great slide presentation of the technology and Airbus deserves a pat on the back on this one!

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Boeing

Boeing Reports Record 2017 Results and Provides 2018 Guidance

Fourth-Quarter 2017

• Record operating earnings of $3.0 billion with operating cash flow of $2.9 billion on strong performance
• GAAP EPS of $5.18 and core EPS (non-GAAP)* of $4.80 on strong deliveries, performance and tax reform

Full-Year 2017

• Record operating cash flow of $13.3 billion; repurchased 46.1 million shares for $9.2 billion
• Revenue of $93.4 billion reflecting a record 763 commercial deliveries
• Backlog remains robust at $488 billion, including a record 5,864 commercial aircraft
• Cash and marketable securities of $10.0 billion provide strong liquidity

Outlook for 2018

• Operating cash flow expected to increase to approximately $15.0 billion
• Revenue guidance of between $96.0 and $98.0 billion reflects commercial deliveries of between 810 and 815
• 2018 GAAP EPS of between $15.90 and $16.10; core EPS (non-GAAP)* of between $13.80 and $14.00

Next, GE Capital Aviation Services (GECAS) and Travel Service, the largest carrier in the Czech Republic, celebrated the delivery of the airline’s first 737 MAX airplane.Travel Service is leasing the airplane – a more fuel-efficient, quieter, and longer-range version of the 737 jet – from GECAS, the commercial aircraft leasing and financing arm of General Electric.

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**** NEXT WEEK AIR SHOW & AIRFRAMERS UPDATE ****

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Other Stuff

• The highlights from the  APEX Meetings in LA this past week can be found here: Day 1 and Day 2. Good Stuff!
• With some 67% of global enterprises breached world wide, and up to 73% of them breached in the US alone, it is time to get up to speed on the issues – You can download Thales Data Threat Report here … the Global Edition! And yes, it’s about data, not just aviation.
• We don’t know about you, but AI and Machine Learning stuff has been a head swimmer for us and we continually wonder why this “stuff” is becoming more and more popular. The attached article link is pretty useful in explaining why these technologies are becoming valuable. Remember, with faster machines and more data storage, there is a heck of lot more data out there, and if one can gain value from it, it is worth pursuing. This article provides a few examples.
• We know not how to introduce this subject … so we suggest you read the article for yourself!?
• Here is one use of Big Data – check it out
• Airbus A321neo (A321LR) maiden flight flight from Hamburg video – 2 minutes long … but worth it! Really beautifully done, and now it’s your turn Boeing!
• Big Data and advertising have common grounds – Big Data’s Impact on Advertising – CTOvision.com So, here is the FCC’s Advisory Circular.
• How about the first FAA cert of a SmartSky plane: Mary Rogozinski on LinkedIn: “After a lot of hard…
• Do you know who Vahana is? Well, “she” is a 1642 lb. (20 ft X 18 ft. X 9 ft.) a single passenger electric VTOL self-piloted aircraft (also called the Airbus A3 upper case – A cubed) band it flew a few days ago in Pendleton, Oregon – Vahana’s First Flight a Success – Vahana
• Travel Megatrends 2018 – Travel Megatrends 2018: Extreme Weather Is Creating Travel Upheaval – Skift
• Boeing B767 engine flaw: NTSB says undetected metal flaw led to dangerous Boeing 767 engine failure and fire | The Seattle Times

Museum of Flight at Boeing Field:

I recently had a meeting at the Seattle Museum of Flight on Boeing Field. While my visit was business… I left the meeting… and lost my sense of time and history – because once you see an old aircraft that fought in a war, or provided the transportation for a historical event, or was the first of it’s kind, you just get lost… lost in time, and possibly lost in space. Interestingly, you become part of the event that the person, plane or spacecraft was famous for… or you become immersed in the art background and signage describing the history and achievement of the craft. One visitor told us that he and his kids were fascinated by the description and experiences of the museum’s individual plane tour guides, who in many cases had flown that aircraft. It is also easy to get wrapped-up in the in mood lighting surrounding the planes in the halls, especially in the periods like those in the WW1 Hall and WW2 Halls. While it has been a long time, as a child, I would have given anything to see what I saw last week at the Museum of Flight. One suggestion, however, don’t let your children say the same thing.

OK, if you want a fast tour of the Museum here it goes: Museum Galleries, Airpark, Great Gallery, Lear Gallery, Personal Courage Wing, Red Barn, & Space Gallery. That’s 7 galleries, many halls, 29 exhibits + a museum store, 140 real aircraft, 12 spacecraft, pre-1900s to 2010s types, from 73 manufacturers… and some 40 of 140 shown planes in the air and on the ground in the Great Gallery. Founded in 1965, the Museum of flight has been growing since it’s inception, but we think the real hero was T. Wilson… he made “The” museum building on Boeing Field happen.

As a bit of museum background, here is what the website says:
“Museum of Flight is devoted to the preservation and sharing of aviation and aerospace history and technology.
Founded as the Pacific Northwest Aviation Historical Foundation in 1965 by a group of local Boeing engineers and aviation enthusiasts, the Museum’s collection was established out of a desire by the group to preserve artifacts and materials representing the entire evolution of flight and to prevent them from being lost, destroyed and forgotten with time. Since 1965, The Museum of Flight’s collection has come to be regarded as one of the best air and space museum collections in the world. The Museum’s collection contains over 150 aircraft, over 25,000 small objects (classified as anything smaller than an aircraft), over 90,000 books and periodicals, over 15,000 aircraft manuals and technical reports and nearly 5,000 cubic feet of archival materials including an estimated four million images. As a Smithsonian Affiliate institution and an accredited American Alliance of Museums institution, we continuously endeavor to meet their standards and best practices in all aspects of our operations, especially in regards to caring for and preserving our collection.”

The Pavilion (across the street form the main Museum building) is incredibly large and hosts an many big planes in a covered outdoor building. One writer said it is larger than two football fields! The new “hanger” effectively doubles the museum foot print, in fact it adds 3 acres of aviation history floor space! It is home for some 19 iconic planes like the world’s first Boeing 747 Jumbo, the 787 Dreamliner, the British Airways Concorde (SST – the last to fly in revenue service), B-17, B29, and B-47 bombers. The site has a convenient “air” bridge to get you there. This inclined walkway is defiantly a better way to reach the Pavilion, not to mention, listening to Frank Sinatra’s “Fly Me to the Moon” playing on the loudspeakers there topped the experience. As with all airplanes, pictures never do them justice but here are a few shots we took that should give you a better idea of the flight scene there are here.

You can fly in on your own plane or in a commercial airline to Boeing Field or Sea-Tac, and if you have a child that likes aviation, you MUST take her or him to see the real planes. You might ask why is this trip worth the effort? The answer is simple: because they can climb in and touch and feel what aviation is all about… and it is about more than planes. It is about flying, it’s about education, and it’s about history… but it is also about fun!

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Panasonic:

OmniAccess, a leading supplier of integrated communications solutions to super yachts and cruise-ships, and Panasonic Avionics Corporation (Panasonic), today unveiled a tailored XTS “extremely high throughput” satellite network for multiple mobility markets. Details on this new communications service are available to key customers that visit the OmniAccess booth at the Monaco Yacht Show. OmniAccess and Panasonic began collaborating on XTS high-throughput satellite designs in September 2015 in order to bring unprecedented levels of capacity and performance to OmniAcess’ existing Super yacht and cruise customers. Through this agreement OmniAccess has secured access to Panasonic’s existing HTS capacity, currently contracted capacity and the future XTS satellite network, bringing industry-leading capacity and performance to its yachting and cruise ship markets. Leveraging Panasonic’s existing global high-speed satellite network, OmniAccess is already providing industry-leading connection speeds of over 200 Mbps to select individual customers.

Paul Margis, CEO of Panasonic Avionics Corporation, said: “We announced our partnership with OmniAccess at the Monaco Yacht Show last year, and since then, we’ve been able to develop solutions that have improved our operational efficiencies and also delivered higher performance and better service to OmniAccess’ super yacht customers. We look forward to continuing our collaboration with OmniAccess to establish a new standard in high-bandwidth services for the mobility market.”

(Editor’s Note: Normally we wouldn’t place a news release that predominately refers to maritime in our publication. However, in this instance we believe it to have relevance as the relationship between Panasonic Avionics and OmniAccess refers to “multiple mobility markets”,  “XTS high-throughput satellite” and “Leveraging Panasonic’s existing global high-speed satellite network”. After all, a revenue stream is a revenue stream whether it is initiated from an ocean or the air! And we wouldn’t be surprised to see more of these relationships in our industry.)

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IFPL:

APEX 2016 will see the very latest in connectivity, payment and power solutions from IFEC specialists IFPL, on Booth 1745 at the Singapore based show.

IFPL leads the way when it comes to deploying contactless payment systems NFC (Near Field Communication) on-board aircraft, with global OEM’s and airlines using this technology for seat back in-flight retail and customer personalization. APEX 2016 will see IFPL demonstrate its new NFC ‘Pin-On-Screen’ solution that enables high value off line transactions by removing the current low value payment barrier. This step change will allow airlines to expand and sell high value items thus increasing ancillary revenues.

With portable and wearable tech now widespread, visitors to APEX can also see IFPL’s USB- C and USB-A units, both providing hi-speed data and power.

As always, innovation from IFPL will be on display with the company demonstrating its new integrated seat arm concept. This will reflect its ability to customize peripherals to support the design language, aesthetics and ergonomics required for true IFE and seat integration.

IFPL will be demonstrating their ‘Charge-2-Charge’ solution for both inductive and USB charging – this will enable airlines to generate additional revenue from passengers wishing to charge their portable devices during flights. Demonstrations will also be available for their popular 110V A/C power outlet and its combination 110V and USB-A & C.

Solving the problem of broken headphone sockets are IFPL’s MagSignal Audio units. Cost neutral when compared with traditional sockets, MagSignal Technology allows the headset cable to be pulled and detached from any angle without detriment; reducing customer induced damage (CID) and maintenance disruption to aircraft.

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Gogo Partnering:

Gogo recently announced that it will partner with Air France-KLM to connect its existing long-haul fleet representing 124 aircraft, with an airline option to install the technology on additional aircraft in the future. The fleet of aircraft receiving Gogo’s 2Ku technology will include numerous aircraft types, including the Boeing 777 and Airbus A330s. “We are delighted to bring Gogo’s industry leading 2Ku technology to one of the largest airlines in the world and two of the most iconic brands in commercial aviation,” said Michael Small, Gogo’s president and CEO. “2Ku delivers a ground-like performance to aircraft flying around the world today, including the ability to stream video. One of the many benefits of 2Ku is that it’s built on an open architecture and can leverage new technology advancements in the future, which means the technology will get even better over time and will provide passengers with a superior connectivity experience now and in the future.” The first aircraft is expected to be in service end of next year, with the bulk of the installations taking place during 2018-2019.

Gogo Next-Gen:
The company also announced that it is developing its next generation ground-based technology to better serve the connectivity needs of business and commercial aviation in North America. This technology will offer a ground-like performance, including the ability to stream videos, for business aviation aircraft, commercial regional jets and select narrow-body aircraft operating within the United States and Canada. The new network will use unlicensed spectrum, a proprietary modem and a new beam-forming antenna to produce peak network speeds of more than 100 Mbps. This next generation ground-based network for the aero market will utilize LTE technology and leverage Gogo’s existing first generation North American network and infrastructure of more than 250 towers.

“Leveraging our first generation network is key to making this next generation network highly reliable and economical to deploy,” said Anand Chari, Gogo’s CTO. “Gogo’s next generation network will also be backward-compatible with Gogo’s first generation network, which means an aircraft will be able to seamlessly switch between Gogo’s fthe two networks networks similar to how a cell phone on the ground connects to the fastest available network.”

The benefits of this new network for commercial aircraft operating within the United States and Canada include: low equipment cost and weight, overnight installation, and low drag on the aircraft due to the small size of the antennas. It also has big advantages in terms of latency compared to satellite solutions.

Aircraft outfitted with one of Gogo’s earlier generation air-to-ground technologies will simply need to be outfitted with a new modem and blade antenna to take advantage of the new service.

The service is expected to be available in 2018. Great article this morning. Separately, we have got big news this morning from Gogo as we announce our next generation ground network to support IFC in North America. We now have upgrade paths to more than 100 Mbps for both our North American ground-based and our global satellite networks. This will enable passengers to do everything they can do on the ground, in-flight. The network will use unlicensed spectrum and will require minimal updates for an aircraft.

(Editor’s Note: You should probably read this as well.)

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SmartSky:

SmartSky Networks’ patented SmartSky 4G radio system completed the major milestone of receiving FCC certification, clearing the way for deployment of the ultra-fast SmartSky 4G air-to-ground network later this year, with nationwide service launching in mid-2017. Haynes Griffin, SmartSky Chairman and CEO, stated, “After investing tens of millions of dollars and over five years of research and development effort, SmartSky’s now certified technology has unlocked enough spectrum to be able to offer, for the first time, the reliable use of a sophisticated, custom-designed 4G system that can deliver an office-like internet experience in the air for both business aviation and commercial aviation customers.”FCC certification is the culmination of work to develop and patent protect the multiple bodies of technology that uniquely enable SmartSky to make use of the unlicensed 2.4 GHz spectrum band, all without causing harmful interference to or receiving interference from the operation of the same band on the ground. Despite the widespread assertion that aviation-related spectrum reuse in the unlicensed band would not be feasible, SmartSky has successfully solved the challenge by implementing new technical methods that are broadly covered by its robust and growing portfolio of 20 granted patents. Additional patents are pending.

Reed Hundt, SmartSky’s Vice Chairman of the Board and former Chairman of the FCC, remarked, “Long ago, the FCC authorized the allocation of large blocks of unlicensed spectrum to foster innovation and encourage competition. Today, we see the amazing results of that prescient regulation, which has resulted in ubiquitous Wi-Fi on the ground. By application of novel technologies using 2.4 GHz unlicensed spectrum, SmartSky’s breakthrough will finally give the aviation industry the superior connectivity now taken for granted terrestrially.”

Roberson and Associates, a highly regarded independent wireless industry consulting firm, investigated the ability of SmartSky’s radio technology to seamlessly coexist with terrestrial Wi-Fi. CEO Dennis Roberson, who is also Chairman of the FCC’s Technical Advisory Council, commented, “SmartSky’s technology solution is transparent to Wi-Fi users on the ground, enabling the air-to-ground sharing of the 2.4 GHz unlicensed band.”

SmartSky’s technology and patent portfolio is not limited to the unlicensed band. Most of the patents apply to any frequency and any waveform in any high speed air-to-ground network. Because these are broad patents, SmartSky enables underlying technical advances to be incorporated into its conceptual solution. “Over time, this will allow SmartSky to keep pace with the latest advances in computing, antennas, radios and networking while still being protected by our foundational patents,” said Griffin.

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Rockwell Collins:

Continuing a relationship that has lasted over 70 years, the Federal Aviation Administration (FAA) has renewed its Aeronautical Mobile Communications Service (AMCS) agreement with Rockwell Collins. Under the agreement, the company will continue to provide Air Traffic Control (ATC) communications, including position reports, aircraft requests and ATC clearances, between the FAA and aircraft flying in U.S. oceanic airspace.

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Uber Transportation in Singapore!

Lastly, here is a Singapore treat from the nice folks at Uber, the transportation app company. It’s easy to use: In the app, choose your ride and set your location. Once you get matched, you’ll see your driver’s picture and vehicle details, at the same time, you can easily track their estimated time of arrival on the map. No phone calls to make, no pick-ups to schedule. With 24/7 availability, request a ride any time of day. Here is how you can get started: Download the Uber app and register for an account. You’ll have the option to input your credit card or opt for cash payment. To enjoy a $15 FREE ride, simply enter the code IFEXPRESS into the Promotions tab! Hurry – the code is valid until 31 October 2016.

• The SmartSky 4G network delivers full-throttle, unrestricted access to the Web
• Bombardier to offer SmartSky 4G service on Bombardier Learjet, Challenger and Global business aircraft

Montreal, Quebec | March 15, 2016– Bombardier Business Aircraft is pleased to announce that its Service Centre Network team will provide hardware sales and installations for SmartSky 4G, a new network taking flight later this year. SmartSky’s patented 4G beamforming technology delivers a signal that locks onto an aircraft, and by using 60 MHz of spectrum on an air-to-ground (ATG) platform, provides full-throttle, unrestricted access to the web. Passengers can do it all: stream, chat, text, call, game and videoconference.

Bombardier will offer SmartSky 4G on in-service Bombardier Learjet, Challenger and Global business aircraft over the continental U.S., and it will complement Bombardier WAVE, which enables Internet connectivity on Global aircraft with seamless coverage across the globe through a dedicated satellite network.

“This is the airborne network experience our customers have been waiting for,” says Chris Milligan, Vice President, Services Sales and Authorized Service Facilities, Bombardier Business Aircraft. “As part of Bombardier Business Aircraft’s commitment to offer our customers one-stop-shopping, we’re excited to provide this level of connectivity, supporting all inflight communication and entertainment needs.”

“We take great pride in welcoming Bombardier, a proven industry leader, to our team and to the in-flight connectivity revolution our 4G network represents,” says SmartSky Networks President, Ryan Stone. “SmartSky 4G is the only inflight network capable of offering services in which bi-directional high bandwidth and low latency are essential. That includes two-way streaming video or support of new advanced applications optimized to take advantage of ultrafast connectivity.”

Satcom Direct serves as SmartSky’s exclusive customer service and support provider. SmartSky’s introductory, time-sensitive Early Bird program provides a further incentive for people to get on board early. Customers interested in the Early Bird program can learn more at smartskynetworks.com/bombardierearlybird/.

Bombardier Business Aircraft’s maintenance network is comprised of seven wholly-owned Service Centres including Dallas, Hartford, Fort Lauderdale, Tucson and Wichita in the United States, Amsterdam, Netherlands and Singapore, as well as a line maintenance station in Nice, France and a total of 15 Customer Response Team mobile units worldwide.