Cost Efficiency
The companies involved are in a constant battle to cut costs of production, without cutting the systems quality and compatibility. Cutting production cost consists of anything from altering the housing for personal televisions, to reducing the amount of embedded software in the In-flight entertainment processor. Difficulties with cost are also present with the customers, or airlines, looking to purchase In-flight entertainment systems. Most In-flight entertainment systems are purchased by existing airlines as an upgrade package to an existing fleet of aircraft. This cost can be anywhere from $2 Million-$5 Million for a plane to be equipped with a set of seat back LCD monitors and an embedded IFE system. Some of the IFE systems are being purchased already installed in a new aircraft, such as the Airbus A320, which eliminates the possibility of having upgrade difficulties. Some airlines are passing the cost directly into the customers ticket price, while some are charging a user fee based on an individual customers use. Some are also attempting to get a majority of the cost paid for by advertisements on, around, and in their IFE.
Read more about this topic: In-flight Entertainment
Famous quotes containing the words cost and/or efficiency:
“Keeping accounts, Sir, is of no use when a man is spending his own money, and has nobody to whom he is to account. You won’t eat less beef today, because you have written down what it cost yesterday.”
—Samuel Johnson (1709–1784)
“Nothing comes to pass in nature, which can be set down to a flaw therein; for nature is always the same and everywhere one and the same in her efficiency and power of action; that is, nature’s laws and ordinances whereby all things come to pass and change from one form to another, are everywhere and always; so that there should be one and the same method of understanding the nature of all things whatsoever, namely, through nature’s universal laws and rules.”
—Baruch (Benedict)