A $400 million deal between Gogo and Intelsat aims to improve in-flight WiFi and could even make the service free.Satellite service provider Intelsat is buying Gogo Commercial Aviation for $400 million in a deal announced Monday.
But now, Gogo Commercial Aviation — the arm of the company that provides that so often frustrating experience to commercial travelers — is being acquired in a $400 million deal by satellite service provider Intelsat. And the result could be that in-flight WiFi sees a major boost in quality and reliability, offering a "living room" experience. And you just might get it for free.
"Intelsat is the largest satellite company in the world," Gogo CEO Oakleigh Thorne told Business Insider. "I can't imagine a better partner for our CA [commercial aviation] business than somebody who has all that capacity." "We have the ability within our company to leverage the owner economics and scale, and the flexibility we can provide," Spengler told Business Insider.
"We were actually thinking about this process prior to March," Thorne said, noting that the pandemic put the sale on hold until the summer, when the company could stabilize its cost structure.
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