American Airlines Group Inc. (NASDAQ:AAL) is reportedly eyeing a possible deal with Elon Musk-led SpaceX to offer Starlink satellite internet on its flights and potentially bring back seatback screens on single-aisle aircraft.
The Airline is considering bringing back seatback screens on its narrow-body aircraft and is in talks with SpaceX to offer Starlink Wi-Fi, CNBC reported on Thursday, citing an anonymous source familiar with the matter.
SpaceX and American Airlines didn’t immediately respond to Benzinga‘s request for comment.
American Airlines Deal With Amazon
The news comes as the airline was earlier reportedly in talks with Amazon.com Inc. (NASDAQ:AMZN) to provide the e-commerce giant’s Leo (formerly Project Kuiper) satellite internet Wi-Fi on its flights. CEO Robert Isom had also said that while Starlink was a dominant force, there were other internet providers as well.
It’s worth noting that Starlink currently has over 10,000 satellites in low Earth orbit, which dwarfs other operators by a long shot. Meanwhile, the Federal Communications Commission (FCC) Chair, Brendon Carr, criticized Amazon for opposing SpaceX’s attempt to launch satellite-based datacenters.
“Amazon should focus on the fact that it will fall roughly 1,000 satellites short of meeting its upcoming deployment milestone,” Carr said.
American Airlines Growth
American Airlines recently shared that it expects its first-quarter revenue to rise more than 10% YoY amid the Transportation Security Administration (TSA) chaos and the disruptions caused by the war in Iran. The company also reported that it expects its adjusted EPS loss to be in the lower end of its guidance of 10 cents to 50 cents per share.
Meanwhile, Sen. Elizabeth Warren (D-Mass) has shared that the war in Iran has led to a worsening situation for the aviation industry. Jet fuel prices have surged by more than 60% since the war began.
SpaceX IPO
SpaceX is also gearing up for its IPO, with Musk possibly reserving as much as 30% of the commercial space flight giant’s initial public offering for individual investors.
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