What The Future Holds – The Boeing Perspective

1. What The Future Holds – The Boeing Perspective John Craig Boeing Company Chief Engineer, Cabin and Network Systems

2. What the Future Holds • Cabin complexity • Consumer electronics • The next generation airplane • What’s after the next generation?

3. 777-200LR Worldliner world record flight These systems need to add value to our customers

4. Media Players Boeing Vision Wireless PDA “Simplify the Cabin” Cell Phones Internet* Video Surveillance* Email/ Intranet* Satellite TV Video On Demand In-Seat PC Power Interactive In-Seat Video Broadcast In-Seat Video Telephony/Fax Overhead Video/ Audio Systems 1970 1980 1990 2000 2010

5. Cabin Complexity

6. Cabin Complexity

7. Complexity Becomes Expensive • Costly to our customers • Difficult to maintain • Challenging to reconfigure • Costly to Boeing • Build time • Configuration variability • Seat-to-seat cabling* • 1/2 mile laid end to end • 700 lb • 85 different part numbers * full cabin 777-300

8. What we’re doing • Wireless IFE • Plug and Play power. • Simplified Passenger Service Units • Standards… • TSO 127A • ARINC 628 • Other

9. Seat to Seat Cabling Separate bundles for separate systems Integrated “generic” power and simplified data What can we do about power wires? Data wireseliminated

10. Each seat group / PSU pairis a wireless network light switch Simplified Passenger Service Unit • Factory build • Reconfiguration

11. Consumer Electronics

12. Consumer Electronics $Billions invested annually • Wireless connectivity • New wireless applications • Plug & play • IP networking solutions • Home AVOD • Open source software • Security

13. Home Networks • Home networks evolving from standalone to integrated platforms • Televisions • Camera’s • Wi-Fi/Wireless • Portable media • Digital Video Recorders • In the next few years these devices will merge into a common infrastructure

14. Integrated Devices Mobile TV (Satellite DMB) e-Home Kodak “Wireless”

15. What’s in the News…(Seattle Times – Sunday May 28, 2006) • Stores are now selling 1-2 GB memory at unheard of prices. • 4 GB devices are arriving. • Technology predictions. $4.99?

16. The Next Generation Airplane

17. LED enhanced lighting Connexion by Boeing Cell phones Ethernet based cabin services system Flight deck entry surveillance camera Dimmable window The Next Generation Airplane Personal Devices Wireless IFE Plug & Play seat power Landscape camera Smart Signs

18. Wireless IFE System Covers Entire Cabin • Wireless in-seat and overhead distribution • Passenger connectivity • Service interface - reading light, attendant call • Full AVOD • Broadcast audio & video • Seat power and PC power • Other IFE functions

19. Wireless IFE

20. Simplified Power Today 2nd Generation Cabin Networking Future 3rd Generation Wireless

21. HDDA CFS ZIU ADB ZIU ADB Seat Electronics Boxes (SEB) Seat Power Boxes VCC Head End EE Bay Current Wired IFE Cabin Equipment Center ADB = Area Distribution Box CFS = Cabin File Server HDDA = Hard drive disk array PESC = Passenger Entertainment System Controller VCC = Video Control Center ZIU = Zone Interface Unit Misc.

22. AP 1 AP 2 AP 3 Cabin Equipment Center EE Bay Seat Power Boxes Simplicity of Wireless IFE Fiber Backbone Simplified Power

23. New Systems Enable Dramatic Improvements

24. Eliminating Seat-to-Seat Data Cables Benefits all Stakeholders

25. What’s After the Next Generation

26. Cabin Complexity • We need to focus on simplifying these systems. • They may do more, but seem much more complex… • Wireless IFE and the “Simplified Cabin” are Boeing’s strategy to eliminate installation complexity. • This needs to translate into passenger and maintenance as well. • Portable devices will need to factored in. • TV’s now come with memory card slot’s built in.

27. “Generation neXt” • Today’s flying public always had entertainment provided… (all three channels!) • The children and young adults of today take what they want, where they want... • As an industry, are we prepared?

28. The industries role • We must add value to the customer. • Who is the customer – airline or passenger? • What is the value proposition – providing or enabling? • Sponsor and support industry standards • IFE system and IFE to airframe • IFE to consumer devices • Simplify the systems • Move from hardware centric to software functional • Integrate functions as appropriate

29. Future Systems • We must recognize significant demographic change. • My 11 year old daughter is digital: • She manipulates my wife's cell phone better than my wife. • She caused me to transform my home network to stream audio • Wants video on her IPOD. • People are expecting connectivity. • Cellular data services approaching broadband • Satellite broadband is on airplanes • Starting the migration of cellular phones onto airplanes • People are bringing their own media onto airplanes.

30. Future System Scenario’s • Scenario 1 – Evolution (providing) • IFE system evolves with new release media, functionality, and internet connectivity. • Scenario 2 – Cable TV (providing) • IFE system with no media. All media delivered via airplane connectivity. Supplemented with passenger media. • Scenario 3 – Standalone display’s (enabling) • No media provided. Flat panel displays with headset jacks, memory card readers and/or connectivity to the passengers PED. • Scenario 4 – No IFE (enabling) • Portable display’s passed out by flight crews or brought on board. Connectivity to passengers PED.

31. Are we ready…