GERMANY GRANTS LICENSE FOR CONNEXION BY BOEING(SM) SERVICE

23 July 2002

The German government has cleared the way for the introduction of inflight broadband Internet services to air travelers beginning next January by authorizing The Boeing Company to use a range of radio frequencies for its revolutionary Connexion by BoeingSM service.

The license, known as a spectrum authorization, was granted by the German Regulatory Authority for Telecommunication and Post. 

Lufthansa German Airlines will join Connexion by Boeing beginning in January for a three-month service demonstration, bringing real-time, high-speed Internet, intranet and email services to trans-Atlantic flights linking Frankfurt and Washington, D.C.

"This license adds to the momentum we are building toward the global rollout of our service," said Connexion by Boeing President Scott Carson. "Within six months, commercial airline passengers will be able to experience the power of broadband in flight, and experience a quality of service that is comparable to or better than they experience in a modern office or home environment." 

The Connexion by Boeing service is moving closer to deployment following stringent review by government agencies in each country that have the responsibility for allocating radio frequencies. To support those efforts, Connexion by Boeing has converted a Boeing 737 into a flying laboratory, which is dedicated full-time to research, test, validation and demonstration. The testing helps assure that this revolutionary new service can operate within its allocated spectrum without causing radio interference with other spectrum users.

"The license represents a major milestone in our efforts to obtain the necessary regulatory approvals from the relevant government agencies around the world," said Robert Phillips, Connexion by Boeing director of Regulatory Affairs for Europe, the Arab States and Africa. "It is particularly appropriate that the first European license in support of the Lufthansa trials should be granted by the German regulatory authorities."

Connexion by Boeing is the market-leading initiative bringing commercial broadband data services to in-flight aircraft. The innovative venture combines the core strengths of the world's leading aircraft manufacturer with the company's capabilities in space-based communication technologies. Airplane passengers soon will be able to choose from a multitude of personalized real-time services, including Internet and firewall-protected intranet access, e-commerce, audio and video entertainment, transmission and receipt of data, shopping and travel and destination information. Airline operators also will benefit from in-flight access to aircraft and crew data. Boeing recently obtained a U.S. government contract to study potential applicability of Connexion by Boeing's broadband in-flight data services for aviation security enhancements.

About Connexion by Boeing

Connexion by Boeing is a mobile information services provider that is bringing high-speed Internet, data and entertainment connectivity to aircraft in flight. The service is currently available to the executive services market in the U.S., which includes operators of private and government aircraft. In addition to its arrangement with Lufthansa, Connexion by Boeing also remains on track with a three-month trial with British Airways in early 2003, and this week announced Japan Airlines as Connexion by Boeing's launch customer in Asia with an agreement to install the system on 10 of their long-range aircraft serving routes between Japan and Europe.