The FCC auction to offer high-speed Internet and other communications services on commercial aircraft ended today. AirCell, won the 3 megahertz license with a bid of $31.3 million while JetBlue Airways’ subsidiary LiveTV won with a bid of $7 million for a 1 megahertz wireless license.
The current user of the airwaves, Verizon’s Airfone, dropped out early in the auction that started on May 10. After the licenses are issued, Verizon must limit operations and then by 2009 give up the airwaves.
Verizon’s current telephone service aboard commercial planes has not done well because of the high cost. The new system will offer high-speed Internet access in the air.
The licenses will not mean travelers can soon use their cell phones in the sky. The FCC and Federal Aviation Administration are still weighing whether to permit that.
