Boeing forms alliance to offer passengers live TV and Internet access.

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Boeing Co. has formed an alliance with Loral Space & Communications Ltd (LSC), Finmeccanica SpA and Mitsubishi to create an inflight-communications system to provide airline passengers with live television and Internet access.

The group plans to provide passengers with the Internet and e-mail at lower prices than what they currently pay for existing telephones installed in aircraft cabins.

A person 'familiar' with the project told The Wall Street Journal that the new alliance is also expected to include CNN and CNBC in some way. A Boeing spokeswoman, LSC officials and CNN and CNBC all declined to comment.

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