News Corporation and Rockwell Collins Form Joint Venture to Establish In Flight Network Cedar Rapids and New York (March 6, 2000) - News Corporation (NYSE:NWS, NWS.A), a leading producer of films and television programming, and Rockwell Collins (NYSE:ROK), a world leader in aviation electronics, have formed a joint venture, the In Flight Network? (IFN?), which will provide live television, recorded video, audio, internet and e-mail services to airline passengers, both in flight and on the ground, throughout the world.
The In Flight Network, which has a planned phased deployment starting late next year, will be the world's first global inflight entertainment network to offer live coverage of news, sports and entertainment events, in addition to recorded audio/video programming and broadband Internet access.
IFN's global, satellite-based, broadband digital communications network will also support multiple video channels, with programming automatically tailored to the length of flight and specific destinations. IFN affiliate airlines can provide their passengers with differentiated, airline-specific, co-branded programming options of business and entertainment channels in multiple languages.
IFN's advertiser-supported business model enables global and national advertisers, as well as local and regional advertisers, to deliver full-motion broadcast video spots to aircraft in flight throughout the world. Web-based video spots and banner ads can also be delivered to PC users on targeted aircraft and airport premises. IFN's onboard equipment will allow advertising content to be accepted and inserted on a near real-time basis. Programming and advertising can be tailored for aircraft point-of-origin or destination and changed automatically to accommodate specific flight segments or changes in routing.
Internet and e-mail capabilities are planned by IFN. This will allow passenger connectivity of laptops or Personal Data Assistants (PDAs) through a wireless network on the aircraft.
News Corporation Executive Vice President James Murdoch said: "The In Flight Network will revolutionize airline entertainment by offering passengers a world of options from live broadcasts, to video, to Internet access. Sports fans will be able to watch major sporting events live - at 30,000 feet. Business travelers and families can stay connected to office and home, making travel more productive and efficient, extending the reach of today's new generation of wireless, mobile applications. And all passengers can expect improved access to the most popular film and television content, including Fox movies and television series."
"IFN will change the inflight entertainment landscape," said Clay Jones, president of Rockwell Collins. "Passengers will stay connected to their digital worlds for entertainment, information and e-mail around the world. With Rockwell Collins systems integration expertise and the immense programming content and satellite communications and broadcasting expertise offered by News Corporation, airline travel will be transformed."
"IFN's broadband, Internet-like architecture enables airlines to leverage their inflight entertainment offering to create true competitive advantage," said News Corporation Senior Vice President Jeff Wales, who will serve as CEO of IFN. "The In Flight Network uses proven, existing satellite communications facilities and digital broadcasting technology to deliver a compelling new information and entertainment experience to airline passengers throughout the world. IFN's open architecture allows strategic marketing and technology partners to gain access to IFN's prime demographic audience."
The IFN airborne system takes advantage of Rockwell Collins Integrated Information System (I2S). This provides a flexible, PC-like computing capability onboard aircraft and offers airlines a wide range of software applications for flight crew, cabin crew, maintenance and passenger services. In Flight Network content for passengers, as well as maintenance diagnostics, navigation databases and flight plan data are exchanged quickly and accurately via its low-power microwave airport gatelink system while the aircraft is on the ground. Data such as real-time graphical weather can be transferred via the IFN's airborne satellite communication system.
The News Corporation Limited is one of the world's largest media companies with total assets as of December 31, 1999 of approximately US$39 billion and total annual revenues of approximately US$14 billion. News Corporation's diversified global operations in the United States, Canada, Continental Europe, the United Kingdom, Australia, Latin America and the Pacific Basin include the production and distribution of motion pictures and television programming; television, satellite and cable broadcasting; the publication of newspapers, magazines, books; the production and distribution of promotional and advertising products and services; the development of digital broadcasting; the development of conditional access and subscriber management systems; and the creation and distribution of popular on-line programming.
Rockwell Collins, with headquarters in Cedar Rapids, Iowa, designs, produces, markets and supports communication and aviation electronics for commercial, military and government customers. The business employs approximately 14,000 people worldwide.
Rockwell is a $7 billion electronic controls and communications company with global leadership positions in industrial automation, avionics and communications, and electronic commerce. The company employs approximately 40,000 people at more than 450 locations serving customers in more than 80 countries.
collins.rockwell.com (search In-Flight Network)
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