Gogo sells commercial in-flight internet business to bankrupt satellite provider
Gogo, the in-flight internet provider, has found a buyer for its commercial airline business. Intelsat, the world's second largest satellite operator by revenue, has agreed to purchase Gogo's Wi-Fi business for $400 million in cash, the companies announced Tuesday. It's an unlikely pairing, mostly because Intelsat filed for Chapter 11 bankruptcy in May.
The bankruptcy was seen as a means for Intelsat to begin paying down its nearly $15 billion debt load while positioning itself to participate in a Federal Communications Commission spectrum clearing program, the company has said. The FCC is clearing out the C-band (4-8 GHz) to make space for 5G customers, and Intelsat is participating in the program that could net the company nearly $5...