WASHINGTON (Reuters)—U.S. regulators plan to sell airwaves starting May 10 to provide communications services like high-speed Internet to U.S. air travelers.
The U.S. Federal Communications Commission said on Wednesday it plans to auction airwaves now used by phones embedded in airplane seats. Those phones, operated by a Verizon Communications unit, are not used regularly because of the high cost.
The financially strapped airline industry could generate a new stream of revenue by partnering with companies wanting to offer high-speed Internet, known as broadband, or a cheaper on-board telephone service.
Verizon plans to bid in the sale so it can offer wireless broadband during flights, according to company officials. It could take about a year for Verizon to deploy if it wins a license, they said.