In-flight e-mail and internet service provider Tenzing Communications is slashing its workforce by more than half as its airline customers focus on surviving the current crisis rather than developing their in-flight products.

The Seattle-based company, 30% owned by Airbus, is restructuring its operations following "recent adverse changes in the commercial aviation marketplace" from which it will take "some time to recover", it says. Around 80 of the company's 150 workers are being laid off, with the restructure primarily affecting sales and marketing.

Tenzing says that none of its airline customers have "officially put their planned programmes on hold", but concedes some are re-evaluating their programmes.

Most recently Tenzing signed up Swissair for its new Airbus A340-600s which are due for delivery from next July, the future of which are in doubt following Swissair's collapse. Additional customers are Air Canada, Cathay Pacific, Finnair, Singapore Airlines, Varig, Virgin Atlantic, three unnamed airlines, plus Scandinavian Airlines as a trial customer.

Source: Flight International