EasyJet joins the ranks of budget airlines installing Starlink — and puts pressure on its rival Ryanair

· Business Insider

EasyJet's Starlink deal is a potential edge over Ryanair, Europe's dominant budget airline.

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  • EasyJet announced a deal with Starlink on Monday.
  • It means two of Europe's three major budget airlines have now signed up for Elon Musk's service.
  • The move puts pressure on budget titan Ryanair after its CEO feuded with Musk over Starlink.

Elon Musk's Starlink has won its latest customer, a budget airline that could put pressure on one of the WiFi service's biggest critics.

EasyJet announced on Monday that the high-speed WiFi service would be deployed on its airplanes from the first half of next year. The British airline, which carries 100 million passengers a year, hopes to have Starlink installed across its 300-strong fleet by early 2028.

The deal means two of Europe's three biggest budget airlines have committed to Starlink.

Wizz Air, a Hungarian carrier that flies about 70 million passengers a year, signed up in June.

That leaves Ryanair, the continent's largest airline and the world's third-largest, as the only one of Europe's biggest budget carriers without the service.

Its CEO, Michael O'Leary, is well-known for being outspoken and took aim at Starlink earlier this year, leading to a spat with Musk.

"We don't think ‍our ⁠passengers are willing to pay for WiFi for an average ⁠one-hour flight," O'Leary told Reuters in January.

While Starlink is typically offered free to passengers, O'Leary also complained about increased fuel costs due to the aerodynamic drag of a Starlink terminal, installed on the top of airplanes.

Musk responded in an X post, arguing that Ryanair — which carries over 200 million passengers a year — would lose customers to airlines that do have internet access.

Over the next week, the two CEOs called each other idiots while Musk called for O'Leary to be fired and joked about purchasing the airline.

But Ryanair appeared to have the last laugh, using the publicity to launch a "Big 'Idiot' Sale" with 100,000 tickets starting at £16.99, or about $23.

The situation has some parallels with the US's Big Three airlines. While United Airlines has Starlink on almost half of its fleet and American Airlines is starting installations early next year, Delta Air Lines has instead tapped Amazon Leo, beginning in 2028.

This has led Musk to insult Delta's CEO, Ed Bastian, and call for his firing.

But American passengers are wealthier and more interested in premium offerings than their European counterparts. That trend has also prompted US budget airlines to offer comfier seats and package deals.

Adding free amenities for passengers is at odds with the typical no-frills budget-airline business model that relies on extra charges to turn a profit.

However, easyJet and Wizz may see Starlink as a way to gain an edge over Ryanair.

That may not last forever, though. In a January earnings call, O'Leary said, "I think as the WiFi technology improves over the next four or five years, we'll all be offering free WiFi access."

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