Inside Track: Ryanair, Qantas Gain Inflight Cell Phone Capabilities

Ryanair, Qantas Gain Inflight Cell Phone Capabilities
Inflight cell phone use made strides in the past month on two continents as Ryanair said it would outfit its entire fleet with technology enabling the use of handheld communications devices beginning next year, and Qantas said it is evaluating technologies to introduce similar capabilities. The Ireland-based low-cost carrier partnered with communications provider OnAir to outfit its fleet of Boeing 737s with its mobile communications capabilities. Ryanair said 50 planes—about one-quarter of its fleet—will be outfitted with the system beginning next year, with the rest of its fleet to be retrofitted with the equipment "from early 2008 onwards." Meanwhile, Qantas said it would introduce "new technology from early 2007, which will enable customers to make and receive e-mails, SMS and calls via their own mobile phone or personal electronic devices such as BlackBerrys." Likewise, Ryanair's partnership enables cell phone operators to charge passengers "to call, text and e-mail using their mobile phones, BlackBerrys and Treos at rates which will mirror international roaming charges," and the carrier is planning on boosting revenue by taking a cut of OnAir's charges. Citing demand from business travelers, Qantas said it would carry out a three-month evaluation of the technology on a Boeing 767 flying intra-Australia routes. Qantas said it partnered with with Telstra, Panasonic Avionics Corp. and AeroMobile "to bring about a solution that will allow appropriate communication devices to be safely used inflight and not interfere with the ground network." While both carriers said they are working with authorities to gain final approval, U.S.-based airlines likely are further away from the governmental go-ahead. A study released this spring by researchers at Carnegie Mellon University found that cell phones and other portable electronic devices "can pose dangers to the normal operation of critical electronics on airplanes (BTN, April 3)." The study came as a potential blow to advocates of inflight cell phone use, as the Federal Aviation Administration has said it would not give its approval unless its safety had been demonstrated. FAA doesn't agree with the Federal Communications Commission's suggestion to lift a 14-year-old ban—which effectively ends the possibility of a change in the policy, since the two agencies share jurisdiction on the issue (BTN, Aug. 1, 2005).

Runzheimer to Release Employee Mobility Data
At its Total Employee Mobility Benchmarking Forum Oct. 9 and 10 at the Swissôtel in Chicago, Runzheimer International will release its findings on the topic, focused on high-level financial and productivity metrics. The results, based on 87 Fortune 2000 companies, stem from six areas of employee mobility, including business travel, domestic relocation and telecommuting, and examine whether or not employee mobility can help a corporation grow faster and how outsourcing and the size of a company affects results. Runzheimer said effectively managing employee mobility results in cost savings, improved employee relations and strengthened organizational agility for corporations.

Golden Tulip Hospitality Introduces Luxury Brand
Golden Tulip Hospitality, with headquarters in The Netherlands and Switzerland, is beefing up its hotel line with the introduction of a new luxury brand, Royal Tulip, which will sit atop the company's three other brands: Golden Tulip Hotels, in the four-star category; Golden Tulip Resorts, also in the four-star category; and Tulip Inns, its three-star category offering. The new brand will give Golden Tulip Hospitality, which franchises and manages more than 500 hotels, mostly in Europe, an entry into the luxury hotel market, which is profiting from high occupancies and rates worldwide. "We studied the impact it would have on both the positioning of our existing brands, as well as the potential in various areas where we are operating hotels," said Hans Kennedie, president and CEO of Golden Tulip Hospitality, in a company release. "From this, it appeared desirable to launch this initiative." Kennedie said the company expected to develop about 40 properties during the next five years and plans initially to flag the brand in Dallas, as well as Amsterdam, Berlin, Casablanca and Mirbat.

Few Entering Visa's Open Door
Visa USA is drawing little interest as it makes its operating rules public, another move toward increasing transparency in the credit card industry as a response to merchant lawsuits regarding interchange fees. Less than 100 of the millions of U.S. merchants have filed to see the rules in the first few weeks since Visa made them public, as the merchants' trade organization criticized the nondisclosure agreement that accompanied the viewing, according to card industry publication CardLine. The organization said the agreement limits the usefulness of seeing the rules because it restricts discussion of them. Meanwhile, MasterCard Worldwide will publish its own rates on its Web site by Nov. 1 as part of its own initiatives to answer interchange challenges.