Boeing delays delivery of ultra-long-range version of 777X aircraft

Boeing 777X aircraft in various stages of production at the planemaker’s production facility in Everett, Washington. (Reuters)
Updated 15 August 2019

Boeing delays delivery of ultra-long-range version of 777X aircraft

  • Boeing still grapples with fallout from the 737 MAX crisis and engine issues with the 777X
  • schedule delay could jeopardize competition with European arch-rival Airbus

SAN FRANCISCO/SINGAPORE: Boeing has pushed back the entry into service of an ultra-long-range version of its forthcoming 777X widebody, the US planemaker said on Wednesday, as it grapples with fallout from the 737 MAX crisis and engine issues with the 777X.
The fresh delay comes as the grounding of Boeing’s money-spinning 737 MAX single-aisle entered a sixth month in August, and as the world’s largest planemaker faces engine-related delays on the 777X widebody that have pushed the first flight of the 777-9 into 2020.
The delay in the slower-selling, longer-range 777-8 will hamper Boeing’s ability to provide a plane in line with the schedule for Qantas Airways’ plan for 21-hour non-stop Sydney-London flights.
The Australian airline had hoped for first deliveries of the planes in 2022 and the launch of the world’s longest commercial flight in 2023.
“We reviewed our development program schedule and the needs of our current 777X customers and decided to adjust the schedule,” Boeing spokesman Paul Bergman said by email, adding that the manufacturer remained committed to the 777-8.
“The adjustment reduces risk in our development program, ensuring a more seamless transition to the 777-8. We continue to engage with our current and potential customers on how we can meet their fleet needs. This includes our valued customer Qantas.”
The Air Current website first reported the delays, saying the 350-seat 777-8 model revised for ultra-long-range flights had originally been scheduled to enter service in 2022 after the arrival of the 777-9 in 2020.
The decision effectively means Boeing engineers have frozen development work on the ultra-long-range version of the 777X. The schedule delay could jeopardize competition with European arch-rival Airbus for a slice of the ultra-long-haul travel market.
Airbus, which is offering an ultra-long-range version of its A350-1000, and Boeing have already submitted their “best and final” offers to Qantas for planes capable of the 17,000-kilometer Sydney-London route, a Qantas spokesman said.
“We still expect to make a decision by the end of this calendar year,” he said.
Boeing’s proposal included a “compelling option” to help deal with the 777-8 delay because it was keen to the stay in the race, according to a source with knowledge of the matter who was not authorized to speak publicly.
An Airbus spokesman said details of its discussions with Qantas remained confidential but the A350 was a “perfect solution” to meet the airline’s needs.
To date, Emirates and Qatar Airways are Boeing’s only customers for the 777-8, having ordered 35 and 10 respectively. The Seattle Times in June reported Emirates was renegotiating its 777X orders.
Emirates and Qatar Airways did not respond immediately to requests for comment about the 777-8 delays.


Nvidia deal for Arm will drive computing power growth, says SoftBank’s CEO

Updated 23 October 2020

Nvidia deal for Arm will drive computing power growth, says SoftBank’s CEO

  • Saudi Arabia's Public Investment Fund (PIF) is an anchor investor in the $100 billion Vision Fund

TOKYO/DUBAI: SoftBank Group Corp. CEO Masayoshi Son said on Thursday the sale of chip designer Arm to Nvidia Corp. will drive growth in computing power, in his first public comments since the $40 billion deal was announced in September.
Son made the comments at a virtual summit about artificial intelligence hosted by Saudi Arabia, an anchor investor in the $100 billion Vision Fund, at which he reiterated his belief that AI would transform society.
The Nvidia deal, part of a series of asset sales by Son, whose group has been shaken by soured investments and the COVID-19 pandemic, has raised concerns it will threaten Arm’s role as a neutral supplier in the industry.
Son is set to speak next week with Nvidia CEO Jensen Huang at SoftBank World, the group’s annual event for customers and suppliers that is being retooled as it focuses on investing.
SoftBank’s growing cash pile is driving speculation about future investment plans, with the Vision Fund targeting external funding for a blank-check company, a source said, in a sign the group is regaining its mojo.
“I am a risk taker,” Son said on Thursday.
Rajeev Misra, CEO of SoftBank Investment Advisers which oversees the Vision Fund, said the market share gained by online commerce companies in the last six to eight months is more than what they gained in the previous four years put together.
“COVID has accelerated the acceleration of AI even further,” Misra told the same conference, adding in the 105 companies Vision Fund 1 and 2 have invested in, artificial intelligence is the core of their businesses.