According to GigaOm, U.S. district judge Edward Chen ruled enough evidence was provided go forward with claims that Gogo has an unlawful monopoly on in-flight Wi-Fi service. The class action lawsuit claims that Gogo is in violation of antitrust laws, through its long-term contracts with airlines such as American Airlines (AAL) and Delta (DAL).
The passengers involved in the case against the company say Gogo controls 85% of the in-flight Wi-Fi market, and that airlines can't easily break their agreements. The passengers also claim Gogo's technology is inferior to Global Eagle Entertainment (ENT) subsidiary Row44's satellite service and JetBlue's (JBLU) ViaSat service.
Gogo currently charges $14 for a 24-pass if purchased before takeoff, but varies the price of its service by flight. Competitor Row44 charges $5 per flight.Gogo says it does not control 85% of the in-flight Wi-Fi market, and that the lawsuit incorrectly states it has a contract with Southwest (LUV). A Gogo spokesperson said "We continue to believe that the suit is without merit and we will continue to vigorously defend ourselves." GOGO data by YCharts
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