Passengers’ Antitrust Suit Against Gogo In-Flight Internet Allowed To Move Forward

(zonaphoto)

A class-action antitrust suit filed by airline travelers against the operators of Gogo in-flight Internet has cleared a huge legal hurdle. A federal court has given the green light for the suit to move forward.

The lawsuit alleges that Gogo maintains an 85% market share on in-flight Internet and that its contracts with the airlines makes it difficult for carriers to drop the service in favor of Gogo’s competition, some of whom only charge a fraction of what Gogo goes for.

Gogo’s system relies on ground-to-air tower transmission, which requires that a plane reaches a certain altitude before Internet access can be turned on. The plaintiffs claim this is inferior to competing satellite-based services that have no altitude requirement.

In the complaint, the plaintiffs also allege that Gogo’s contracts are so restrictive as to be an illegal restraint on trade.

Gogo denies the plaintiffs claims about its market share and its deals with airlines, but the judge ruled the plaintiffs have demonstrated enough of their case that these matters should be determined in a trial.

Passengers win ruling in fight over Gogo’s in-flight Wi-Fi “monopoly” [GigaOm.com]

by Chris Morran via Consumerist