Taking Telcos to the Sky

We live in a hyper-connected world, and this demands constant connectivity, even at 30,000 feet. Modern travelers, especially business and premium passengers, expect uninterrupted internet access during flights for work, entertainment, and communication. This evolving expectation presents a growth opportunity for the telecom companies to expand beyond traditional markets and into the skies.

In-flight connectivity is no longer an amenity—it is becoming a defining feature for the overall passenger experience. For telcos, this offers a perfect complement to their core business leveraging their expertise in network integration, service delivery, customer experience optimization, and data analytics to unlock new revenue streams. With the right strategy, key partnerships within the aviation sector, and agreeing to follow all regulatory compliances, telco companies are positioned to lead the way in revolutionizing aviation connectivity.  

Here is a five-step roadmap to help telcos take flight in this growing market.  

Step 1: A Strategic Approach to Market Entry

Before entering the in-flight Wi-Fi market, telecom companies must assess their market readiness and have a clear strategy planned out.  

For example, the decision to build, buy, or partner is very important—whether they should be investing in their own satellite or air-to-ground infrastructure, or collaborating with established providers like Viasat, Gogo, or Panasonic Avionics. Each option has their own distinct advantage and challenge. On one hand, building proprietary systems offers greater control but requires up front investments; on the other, strategic partnerships can provide faster market entry with reduced capital expenditure.  

Traditional OSS/BSS platforms, originally designed for mobile and broadband networks, may not be fully optimized for satellite communication. And thus, it also calls for evaluating existing assets – like OSS/BSS platforms, subscriber bases, and billing expertise—which can give them a competitive edge in offering personalized, usage-based billing models and tailored services.  

Step 2: Prepare for Spectrum Access

Operating in the aviation connectivity space means managing a complex web of international and local regulations- spectrum licenses (for satellite or air-to-ground communication) must be obtained, as well as comply with aviation safety protocols set by regulatory bodies such as the Federal Aviation Administration (FAA) and European Union Aviation Safety Agency (EASA). Don’t forget, the equipment installed on aircraft must also undergo rigorous certification processes to make sure it meets safety and operational standards.  

Gaining approvals from multiple jurisdictions for international flights can be a time-intensive but necessary step for telcos looking at entering the in-flight services space. These compliance requirements also extend to ensuring OSS/BSS platforms are capable of securely managing data flow across international borders.

Step 3: Choosing right - Build vs. Integrate.

The success of the in-flight Wi-Fi also depends heavily on a reliable technology infrastructure. There are several technological options to consider:

Satellite-based systems (using Low Earth Orbit or Geostationary satellites) offer broad coverage and high-speed internet for long-haul flights.

Air-to-ground systems rely on cellular-like ground stations to provide connectivity, which is more common for domestic flights.

Hybrid solutions combine both satellite and air-to-ground technologies for optimized coverage and performance.

To meet the demands of the evolving in-flight Wi-Fi market, modernizing existing OSS/BSS platforms is essential to ensure integration between aircraft systems, ground stations, and satellites. This includes enabling real-time billing, dynamic bandwidth management, and interoperability with airline systems—important capabilities that will enhance service delivery for telcos. Additionally, shifting to a cloud-native OSS/BSS architecture with API-driven interoperability becomes vital to facilitate real-time data exchange between satellite modems, onboard routers, and telco business systems for scalability and overall efficiency.

Step 4: Putting Passengers First

The merging of telcos and airlines working together results in enhancing the overall experience of a traveler’s journey. The path to success lies in co-developing personalized digital services with airlines—creating smooth, end-to-end in-flight experiences that engage passengers from start to finish.  

Using their personalization capabilities they can offer streaming content recommendations, integrate loyalty programs with Wi-Fi onboarding, targeted in-flight advertising, and premium content subscriptions. Also, creating flexible billing models can be a key to increased customer adoption - simple strategies like creating bundled Wi-Fi packages for business-class passengers or offering subscription models for frequent flyers can further drive adoption and generate new revenue streams.

Step 5: Think of Long-Term Viability

The in-flight Wi-Fi market is a high-investment, high-reward space where telcos must carefully balance their cost structures with innovative pricing strategies to ensure long-term ROI.  

Monetization options like pay-as-you-go models, tiered subscription plans for frequent travelers, and advertising-supported free Wi-Fi for economy passengers can help diversify revenue streams. However, success in this space also hinges on overcoming technical challenges of bandwidth limitations, latency, and network integration. Emerging technologies, like Low Earth Orbit satellites, hybrid networks, and advanced antennas, may provide the answer to addressing these hurdles.  

End-to-end service assurance and predictive analytics can play a major role here. Implementing AI-driven monitoring tools can help telcos anticipate service disruptions, optimize bandwidth allocation, and enhance customer experience—ensuring smooth connectivity throughout the flight.

Between Clouds and Opportunity

The sky is becoming a new frontier for digital expansion. In-flight Wi-Fi offers telcos a unique opportunity to reinvent their role in the connected world. The question is no longer whether they should enter this market, but how they will evolve with it. What will be fascinating is watching how telcos combine technological innovation with customer-centric strategies to capture new revenue streams, all while reshaping the travel experience for the future.