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Joined: Fri Sep 28, 2007 6:25 am

Why Did LiveTV Items Cost B6 $95 Mil In '09?

Tue Feb 02, 2010 8:46 pm

I was reading an article about B6 and ancillary revenue, and came across something...

Non-aircraft Cap Ex includes $95 million related to live TV

How did they manage to spend $600,000+ per aircraft for a system that's been installed in most of the airframes for years?

Is there that much maintenance involved? I remember reading that VX spend about $1.5 million per plane to get RED fully installed, including the Sat dome and wiring...

Thanks in advance!
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RE: Why Did LiveTV Items Cost B6 $95 Mil In '09?

Sun Feb 07, 2010 10:10 pm

Could that refer to the purchase and investment into LiveTV, the company, which I believe is owned by JetBlue?
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Joined: Sat Oct 25, 2003 3:52 am

RE: Why Did LiveTV Items Cost B6 $95 Mil In '09?

Sun Feb 07, 2010 10:39 pm

Quoting copter808 (Reply 1):

Correct...LiveTV is a business unto itself. You can't devide the $95 million into the number of airframes jetBlue has.
"It's not the size of the dog in the fight, but the size of the fight in the dog"
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Joined: Wed Feb 13, 2008 11:04 pm

RE: Why Did LiveTV Items Cost B6 $95 Mil In '09?

Mon Feb 08, 2010 3:03 am

They've made many upgrades to the system and are installing it on other airlines, most notably CO. I know the arrangement with CO is a revenue-sharing model. Basically LiveTV installs the system at no cost, but they gain the majority of the revenue. CO just has to pay for the fuel to cart it around and they get to offer their customers IFE. Win-win, at least that's the idea.

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