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Viasat (VSAT) Boosts In-Flight Experience for Brazilian Airline

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Viasat, Inc. (VSAT - Free Report) recently announced that one of the prominent airlines in Brazil, Azul, has opted to deploy Viasat’s in-flight WiFi service to enhance passenger’s experience. Azul first partnered with Viasat in 2021, becoming the first South American airline to offer in-flight WiFi. In the recent venture, Azul plans to equip its seven aircraft in its new Airbus A330-900 neo fleet with in-flight connectivity powered by Viasat’s ka-band network.

In today’s digital age, Internet service has become an important aspect of the travel experience. Passengers expect to stay connected for a variety of purposes, such as streaming audio and video, web browsing, attending virtual meetings, messaging friends and family, checking real-time sports scores and more.

According to VSAT’s 2023 Passenger Experience Survey, reliable in-flight WiFi raises the likelihood of passengers rebooking with the same airline as it improves their convenience, enjoyment and productivity while traveling.

Recognizing this trend, leading airlines like Azul are ramping up their investment in advanced satellite connectivity technology, as this increasingly becomes a deciding factor for passengers when choosing between airlines, especially on longer flights. In addition to high throughput capacity, Viasat’s solution can also adjust and dynamically allocate network resources to efficiently serve busy flight routes. This will ensure a consistent and seamless online experience and bolster customer satisfaction of Azul passengers.

The expansion of the strategic partnership with one of Brazil's major airlines will strengthen Viasat’s prospects in the South American aviation market. Viasat’s impressive bandwidth productivity sets it apart from conventional and lower-yield satellite providers that run on incumbent business models. However, headwinds in the satellite business line due to soft demand for fixed broadband services are concerning.

The stock has lost 35% over the past year against the industry's growth of 51.1%.

Zacks Investment Research
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Zacks Rank & Stocks to Consider

Viasat currently carries a Zacks Rank #3 (Hold). 

Arista Networks, Inc. (ANET - Free Report) sports a Zacks Rank #1 (Strong Buy) at present. In the last reported quarter, it delivered an earnings surprise of 8.25%. You can see the complete list of today’s Zacks #1 Rank stocks here.

It is engaged in providing cloud networking solutions for data centers and cloud computing environments. The company offers 10/25/40/50/100 Gigabit Ethernet switches and routers optimized for next-generation data center networks.

Ubiquiti Inc. (UI - Free Report) carries a Zacks Rank #2 (Buy) at present. The company offers a comprehensive portfolio of networking products and solutions for service providers and enterprises.

Its excellent global business model, which is flexible and adaptable to evolving changes in markets, helps it to beat challenges and maximize growth. The company’s effective management of its strong global network of more than 100 distributors and master resellers improved its visibility for future demand and inventory management techniques.

CommScope Holding Company, Inc. (COMM - Free Report) , carries a Zacks Rank #2 at present, it is a premier provider of infrastructure solutions, including wireless and fiber optic solutions, for the core, access and edge layers of communication networks. 

The company created a niche market for itself, helping customers scale network capacity, delivering better network response time and performance and simplifying technology migration.

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