American Airlines (AA, Dallas/Fort Worth) has dropped a court case filed last week against inflight WiFi provider Gogo for breach of contract. A statement on Gogo's website said the carrier had dismissed the declaratory judgement action while an AA spokesman confirmed the suit had been dropped without prejudice.
At the time of the case's filing, American alleged Gogo had broken the terms of a 2012 contract which authorized AA to notify Gogo of competing products that improved on its existing air-to-ground offering. AA claimed that when it informed Gogo that it had indeed found competing products that offered better bandwidth and coverage, Gogo both rejected the notice and refused to acknowledge American’s right to opt out of the contract leading to the case's filing.
Gogo has since said it would not challenge American’s right to consider competing offers and has outlined plans to replace its current product in use with AA with its improved satellite-based 2Ku system.
