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Digital Signage for aircraft cabins (Photo: Aerq)
Digital Signage for aircraft cabins (Photo: Aerq)

LG and Lufthansa: Aerq Ceases Business Operations

After five years in development, the Hamburg-based digital cabin platform start-up Aerq, a joint venture between Lufthansa and LG, is shutting down. Effective immediately, it has discontinued its in-flight entertainment services and stopped further development of its IFE system.

Founded by Lufthansa Technik and LG Electronics in 2019 , Aerq has developed a digital cabin solution for commercial airlines known as Aerena. The solution was recently installed in an Airbus A320 of Lufthansa subsidiary Discovery Airlines for operational demonstration and is one of the most advanced products of its kind on the market.

The concept was based on high-resolution LG screens at each seat and, in the medium term, aimed to include large-format OLED displays in the aircraft entrance and throughout the cabin.

Aerq: Transparent Aircraft Signage

While the Aerena product has met expectations for functionality, quality, and customer satisfaction in ongoing flight operations, the Hamburg-based start-up encountered considerable obstacles entering the highly sensitive IFE systems market, which is dominated by a few specialists like Panasonic.

For this reason, the shareholders have mutually agreed to cease Aerq’s business operations with immediate effect. Both JV partners will go their separate ways in the IFE area in the future.

This decision affects around 180 employees at Aerq’s Hamburg headquarters, who have already been informed. The company’s orderly closure will proceed through a winding-up process that is now being prepared.