JetBlue TrueBlue - New LiveTV Customer signed up

CO signed on, with planes going in to service either starting in January '09 or all online by January '09. They're retrofitting all of their 757-300s and their 737-700/800/900/900ERs, including the 30-odd they're taking delivery of in the next two years.

They will be charging $6 for the TV service in Y, though no word if they will continue to "compete" with B6 on overlapping routes by giving it away for free.

Discussion ongoing in the CO forum (http://www.flyertalk.com/forum/showthread.php?t=784560).

Excellent news for both CO & B6 customers.

CO will become, by far and away, the largest client of LiveTV and will inject much-needed cash into the coffers of JBLU, although I am curious how much $$$ this will ultimately represent.

From how I'm reading the press release, the risk is almost all on JBLU in terms of installing the hardware and collecting the revenue. They won't see penny one until January '09 when the systems start deploying, but at that point they'll get to keep the majority of the revenue the system generates. I don't know what the transponder and other pieces cost, but they can't be cheap; this has to be a long-term play for revenue, not a short-term grab.

From how I'm reading the press release, the risk is almost all on JBLU in terms of installing the hardware and collecting the revenue. They won't see penny one until January '09 when the systems start deploying, but at that point they'll get to keep the majority of the revenue the system generates. I don't know what the transponder and other pieces cost, but they can't be cheap; this has to be a long-term play for revenue, not a short-term grab.
There are also on-going costs of acquiring programming from DirecTV which must be factored into the equation.

I'm sure they have a clear idea of ho many PTV's per flight on average need to be activated in order to turn a profit.

There are also on-going costs of acquiring programming from DirecTV which must be factored into the equation.

I'm sure they have a clear idea of ho many PTV's per flight on average need to be activated in order to turn a profit.

Agreed, but it is still a long-term play for B6. It may actually cost money in the short term to fit the planes. That was my main point.