GoGo Business Aviation, which provides connectivity and broadband for business jets, said it had to delay the launch of its 5G system due to a design error in a non-5G component of the chip. The chip was designed by the company’s third-party subcontractor. 5G solution provider.”
“While we are disappointed in this delay, we are confident that Gogo 5G offers better performance and better value than competing satellite solutions from ATG and GEO,” said Sergio Aguirre, Gogo’s president and chief operating officer. “
Gogo says it has already achieved significant milestones in its Gogo 5G launch, including the launch of the Gogo 5G antenna and terrestrial network of 150 sites in the United States and Canada. Gogo continues to accept orders for 5G and is working with major OEMs to make 5G a line-compatible option. Additionally, a customer can pre-provision his 5G antenna and harness now, allowing the operator to install his 5G box as soon as the chips are available.
Gogo says its 5G service will outperform competing geostationary satellite (GEO) and air-to-ground (ATG) solutions, with average speeds of up to 25 Mbps and peak speeds in the 75-80 Mbps range. Masu. Designed to deliver high throughput with very low latency, it supports today’s data-intensive services and applications such as video conferencing, cloud computing, and social media, as well as tomorrow’s emerging technologies. Respond to increased demand. .
Despite the delays, Gogo remains confident in its ability to bring to market the first 5G network purpose-built for business aviation. Gogo’s supplier has so far successfully tested his 5G components on the chip at scale, and there are no design errors in his 5G block of chips.
Gogo expects the project to stay within budget, but delays will reduce revenue by approximately $7 million (6.3 million euros) in 2023 and reduce operating and capital expenditures by approximately $13 million from 2023 to 2024. It is expected that it will be postponed. Gogo plans to share more details during the period. The second quarter 2023 financial results will be announced on August 7, 2023.
As of March 31, 2023, Gogo reported 3,447 business aircraft equipped with Gogo’s AVANCE L5 or L3 systems, 7,046 aircraft equipped with ATG systems, and 4,458 aircraft equipped with narrowband satellite connectivity. Did.
