London, 23 January 2026, 17:22 GMT
- As satellite connections get better, airlines targeting premium passengers now see fast in-flight Wi-Fi as essential.
- Ryanair chief Michael O’Leary claims Starlink equipment increases drag and fuel consumption, adding that most budget travelers won’t be willing to pay for it.
- The split reveals a growing divide between long-haul airlines pushing perks and short-haul carriers focused on slashing costs.
Elon Musk and Ryanair boss Michael O’Leary publicly sparred, spotlighting a question airlines have long avoided: is fast in-flight internet now essential, or just a pricey add-on?
Starlink’s promise is straightforward — improved Wi-Fi at 30,000 feet — yet the financial side is far from simple. Major long-haul airlines are snapping up the service to satisfy premium passengers, but Europe’s largest low-cost carrier is bluntly telling Musk to look elsewhere.
This matters more than ever as airlines push premium travel, loyalty perks, and bundled services to boost margins. Faster satellite connections have noticeably improved the experience, shifting the debate from “does it work?” to “who foots the bill?”
Airlines keep a close eye on their competitors. When several major carriers start offering solid streaming and video call options, others get stuck with an obvious choice at the gate: free Wi-Fi or a paywall — or no connection at all.
Full-service airlines like British Airways have provided onboard internet for years, but the pace of adoption has picked up with better satellite tech. In the last year, Lufthansa, SAS, and Virgin Atlantic have all signed deals for Starlink or competing services from Viasat and Intelsat.
David Whelan, an analyst at Valour Consultancy, noted that a stripped-down short-haul model “doesn’t necessarily have to include WiFi.” Air France-KLM CEO Ben Smith insisted high-speed Wi-Fi is “a cost of doing business” on transatlantic flights, stressing airlines targeting U.S. travelers “have no choice.” SAS CEO Anko van der Werff, whose airline recently adopted Starlink, described it as “the gold standard.” 1
Starlink’s edge lies in its satellites orbiting closer to Earth, slashing signal delay and enabling smoother streaming and video calls. But there’s a catch: Whelan estimates the cost around $170,000 per aircraft, varying by airline, excluding hardware and installation. Airlines still have to figure out how to make that money back.
One approach is the “freemium” model—free access for premium users, while others are pushed toward paying or signing up for loyalty programs. SpaceX declined to comment on pricing when asked.
Ryanair insists the plan falls apart on short-haul flights. O’Leary points out that extra antennas add weight and “drag” — that’s aerodynamic resistance — which can hike fuel consumption. Plus, he’s skeptical that budget travelers will cough up even a small fee for Wi-Fi.
Musk fired back on X, calling O’Leary an “utter idiot,” dismissing the drag as negligible, and joking about buying the airline. O’Leary shrugged off the takeover rumors, saying any investment would be fine but adding: “Mr Musk is welcome to buy shares, but he can’t take control.” 2
O’Leary claimed the dispute bumped bookings up by roughly 2% to 3% over five days, effectively turning the row into free advertising. He also revealed Ryanair spent around a year in talks with Starlink over onboard Wi-Fi but decided the price was too steep. Plus, they don’t see eye to eye on how many passengers would actually pay for the service.
O’Leary revealed Ryanair has been in talks about Starlink for around a year and is impressed by the system — “It is a terrific system. It works very well.” Still, he estimates the annual cost at about $250 million, which includes some $200 million in extra fuel from about 2% increased drag. He also told Musk to “join the back of a very, very, very, very long queue” of people who’ve insulted him. Ryanair is meanwhile exploring other options, like Amazon’s Kuiper project. 3
The battle heats up as satellite internet providers dive further into aviation—Starlink, Viasat, Intelsat, and Kuiper all vying for airline contracts. For airlines, the decision is shifting away from tech specs and moving toward who foots the equipment costs, who charges passengers, and who covers fuel expenses.
Airlines banking on free, fast Wi-Fi face a gamble: if few passengers use it or fuel prices climb, the math might not work out. Budget carriers, though, face a different threat—if travelers begin to expect steady connectivity as a given, lacking Wi-Fi could push them to pick other options.
