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Boeing said Thursday it would shut down its Connexion in-flight Internet-access service, citing failure to attract much interest among travelers or airlines.
The 6-year-old Connexion service offered wireless service on some flights operated by a number of international airlines, most notably Lufthansa.
But only 146 aircraft had so far been equipped to offer the service, a tiny fraction of the 5,000 Boeing had originally hoped to have equipped by now, according to the New York Times report.
On the plane, the service resembles that offered in an Internet café, with passengers gaining access through a high-speed wireless network. Communications between the local network on the aircraft and the rest of the Internet is handled by a satellite link.
"Over the past six years we have invested substantial time, resources and technology in Connexion by Boeing," said chairman, president and chief executive Jim McNerney.
"Regrettably, the market for this service has not materialized as had been expected. We believe this decision best balances the long-term interests of all parties with a stake in Connexion by Boeing."
Boeing expected the majority of Connexion employees to be transferred to other jobs within the company.
Shutting down the service will reportedly cost the company $320 million.
Boeing has reportedly been trying to sell the unprofitable service for sometime. The service has reportedly cost the company $1 billion.
Part of the reason for the failure of the service may have been the emergence over the years of cheaper technologies enabling airliners to tap into cellular networks.
European aircraft manufacturer Airbus, for example, launched OnAir, a mobile phone-based service in 2005.
(Xinhua News Agency via Agencies August 21, 2006)
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