Newly introduced budget airline Scoot Pte, which is a wholly owned subsidiary of Singapore Airlines, will be saving fuel and have increased profits by replacing aircraft’s own entertainment systems that weigh more than two tons, with Apple’s iPads as a passenger entertainment device, reports Bloomberg. The budget carrier will loan the iPads free to passengers in its business-class seats. The airlines will reportedly save fuel while still flying older airplanes and even expanding traditional seating capacity by 40%. Scoot will charge economy passengers S$22 ($17) a trip to rent the tablets which are loaded with movies, music, games and television shows.
According to the source:
Cutting costs and finding new sources of revenue will be key for Singapore-based Scoot as it seeks to make a profit flying older planes than other low-cost carriers and selling tickets as cheap as S$158 one-way to Sydney, a flight of more than seven hours. Singapore Air formed Scoot after budget operators led by Jetstar and AirAsia Bhd. won 26 percent of the city’s air-travel market.
The iPads are “a very smart move,” said Corrine Png, JPMorgan Chase & Co.’s Singapore-based head of regional transportation research. “If they can make the aircraft lighter, it does help improve fuel efficiency.”
An airline representative also said that charging extra for services such as the iPads and catering may further help boost earnings.
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