I wrote in 2012 that inflight wifi would be free within a decade. At the time it was a bold claim and most commentators thought it was a silly one. But by 2019 Delta was poised to join JetBlue in offering free wifi.

• The critical contention was that once wifi bandwidth was no longer a binding constraint, so there wasn’t a tradeoff between one passenger using it and supply available for another to use it, it made economic sense to bundle with the ticket – for the same revenue-maximizing reasons that cable companies bundle channels.

• This was delayed by the pandemic, but it’s a prediction that’s been coming true. Delta offers free wifi, and United is moving to free, while the cost at most competitors has fallen to around $8 everywhere but American Airlines which appears to misunderstand the opportunity.

• Delta uses it to acquire new SkyMiles members, to whom they can pitch their American Express credit card. United will be using it to pitch targeted advertising (customers log in, and get ads based on all the information the airline knows about them).

Now Air Canada – United’s joint venture partner – will be offering free wifi within North America and close-in leisure destinations starting in May 2025, and expanding to long haul aircraft in 2026. They’re even adding wifi to Q400 regional aircraft that operate out of Toronto City airport.

Gate-to-gate “reliable, streaming-quality Wi-Fi” will require Aeroplan membership and comes with a sponsorship from Bell.

“Reliable access to streaming-quality Wi-Fi is becoming essential for both business and leisure travellers. That’s why we’re upgrading our fleet with the latest technologies,” said Mark Nasr, Executive Vice President, Marketing and Digital, and President of Aeroplan at Air Canada. “We’re excited to offer fast, free Wi-Fi to all Aeroplan members, with a customer-focused rollout plan that includes installation of service on our Air Canada Express Q400s, including those that fly from Toronto’s Billy Bishop Airport. Although other Canadian airlines have announced free Wi-Fi services, not all have accelerated installation across their fleets or committed to offering the service comprehensively. Air Canada plans to offer fast, free Wi-Fi across its entire fleet and will begin rolling out this service in early Spring. What’s more, over 85% of aircraft will be connected from day one, with the remaining installations being a priority throughout 2025.

Poor quality wifi is something that I avoid when choosing an airline. It costs airlines ticket revenue. While the cost of wifi is part of the cost of travel – airlines that bundle it in with ticket price become more competitive, while charging separately makes little sense when it’s possible to offer it at near-zero marginal cost once installed on the aircraft.

You’re attracting more customers and in the case of Delta and soon Air Canada, driving membership in a profitable loyalty program which allows marketing of revenue-generating activities – much higher revenue than from low-uptake paid wifi strategies.