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Gogo by the numbers: Scaling airline Internet

If you've traveled chances are you've used Gogo. Here's a look at how in-flight connectivity is scaling in North America and now globally.
Written by Larry Dignan, Contributor

Gogo, the in-flight connectivity company, plans to scale its hybrid ground-to-orbit technology, expand internationally and deliver more revenue per aircraft in 2014.

The 2014 outlook, which calls for revenue of $400 million to $422 million, highlights how Gogo is gaining traction beyond the U.S. and venturing into faster broadband service that will allow for streaming video. The lack of streaming via Gogo on a flight can be an annoyance for travelers.

For the fourth quarter, Gogo reported a net loss of $22 million, or 26 cents a share, on revenue of $92.55 million. For 2013, Gogo reported a net loss of $145.85 million, or $3.05 a share, on revenue of $328.12 million.

Clearly, Gogo is in buildout mode. At some point, Gogo will have most airlines cover, have a locked-in customer base and be able to collect service revenue for a long time. For now, Gogo needs to expand.

gogobynumbers

 

Here's a look at the company by the numbers:

  • $3 million to $5 million: Revenue Gogo expects in 2014 from international flights from carriers like Japan Airlines and Delta.
  • 46 percent: Revenue growth in fourth quarter compared to a year ago.
  • 2,032: Commercial aircraft online with Gogo in 2013.
  • 6.9 percent: Take rate of Gogo service a month per aircraft.
  • $8,970: Average monthly service revenue per aircraft online.
  • $10.29: Average revenue per Internet session.
  • 79 percent: Gogo market share in North America.
  • 332: Awards for international aircraft so far.
  • 63 percent: Market share for business aircraft (private planes) in North America.
  • 36,000: Commercial aircraft forecasted for 2032.
  • $101,000: Annualized average revenue per aircraft in 2013.
  • $50 million: Sum spend on engineering, design and development in 2013.
  • $104 million: Sum spent on capital expenditures in 2013.
  • 70 Mbps: Speeds possible with Gogo's ground-to-orbit network launching in 2014.
  • 50 Mbps: Speeds possible for global services Gogo plans to launch in 2015.
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