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Six airlines to add iPod connections on planes

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From Reuters

Airline passengers will soon be able to connect their iPods to in-flight entertainment systems and watch their favorite videos without fear of running out of battery power while traveling on any of six major carriers, iPod maker Apple Computer Inc. said Tuesday.

Air France, Continental Airlines Inc., Delta Air Lines Inc., Emirates, KLM and UAL Corp.’s United Airlines will begin offering their passengers iPod seat connections, which power and charge iPods during flight and allow the video content on the devices to be viewed on seat-back displays.

The service will begin in the middle of next year. Other terms of the deals were not disclosed.

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All airlines are “looking to upgrade their entertainment systems, especially for longer-distance flights,” said Ray Neidl, senior airline analyst at Calyon Securities. “This is just one way of doing it.”

Although many travelers now use laptop computers or portable DVD players to watch videos, those devices have limited battery life.

Apple has sought to expand the possible uses for its market-dominating iPod, including deals to build iPod ports into new-model cars. The announcement came as rival Microsoft Corp. launched its Zune digital music player Tuesday in a bid to challenge the iPod.

To date, Cupertino, Calif.-based Apple has sold nearly 70 million iPods and more than 1.5 billion songs through its iTunes music store. It has also made popular TV shows and movies available for purchase and download through its Internet store.

But analysts have voiced concern that there is limited room for growth in the iPod’s market share because it already has more than 75% of the U.S. market for digital music players.

Apple has responded by introducing new versions of the device, including a new video iPod and iPod Shuffle. By striking deals to have iPod outlets in cars and now airlines, the computer maker is also expanding the uses of its hugely popular music and video system.

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At the same time, airlines are searching for ways to keep customers loyal, even as many cut back on services such as meals to control costs. Apple is working on bringing the iPod service to other airlines, the company said.

Shares of Apple rose 65 cents to $85.

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