AT&T in April announced its intentions to partner with Honeywell and deliver in-flight Wi-Fi connectivity to passengers using its 4G LTE network on the ground. AT&T had initially hoped to launch its offering in late 2015, when it would compete directly with other providers such as Gogo, which owns most of the U.S. in-air Wi-Fi market right now. AT&T said that its service would also help improve cockpit communications and maintenance of aircraft, in addition to better serving the crew. Now AT&T is ditching those plans altogether.

AT&T will instead put its focus on expanding its network on the ground, where it has been spending huge amounts of cash on recently. Last week the company revealed that its intentions to buy Mexican wireless carrier Iusacell for $2.5 billion, and that purchase is in addition to another one in May when it agreed to acquire DirecTV for about $50 billion.

"As AT&T explores opportunities for future growth and diversification, expanding our international presence has remained an area of interest," the firm reportedly told RGN. "On Friday we announced our intent to acquire Mexico wireless company Iusacell. After a thorough review of our investment portfolio, the company decided to no longer pursue entry into the Inflight Connectivity industry. We are focusing our capital on transformative investments, such as international and video."

TechnoBuffalo reached AT&T for official comment and a spokesperson confirmed the decision.