Boeing Teams Up With Microsoft To Build New AI-Powered Dataliner Platform – BMO Sees ‘Upside Tension’ For Azure

BMO Capital raised its price target on Microsoft to $600 from $515 while maintaining an ‘Outperform’ rating, according to The Fly.

• Dataliner will give airlines broader insights into aircraft condition, maintenance history and fleet operations.
• Boeing plans to use Dataliner to support new digital services, including Asset Lifecycle Planning and TechOps AI Agent, and connect existing offerings.
• Separately, BMO Capital raised its price target on Microsoft to $600 from $515 while maintaining an ‘Outperform’ rating, according to The Fly.

BA shares were in focus on Tuesday after Boeing announced Dataliner, an AI-powered data intelligence platform developed with Microsoft (MSFT) to help airlines improve fleet-wide maintenance and operational decisions.

BA and MSFT shares traded marginally lower at the time of writing.

How Dataliner Works

Dataliner combines aviation data, AI and Boeing’s aircraft and engineering expertise to give airlines a more complete view of their fleets, including aircraft condition, maintenance history and operations.

“Dataliner is an important step in how Boeing is bringing its aircraft expertise and digital capabilities together to help customers anticipate maintenance needs, identify emerging risks and take timely action,” said Lindsey Douglas, vice president of Cabin, Modifications, Maintenance and Digital Services at Boeing Global Services.

Data Security And Customer Control

Developed in partnership with Microsoft, Dataliner uses Azure AI Foundry, Microsoft’s data solutions and other technologies. Dataliner allows airlines to keep data in their own environments and choose what information they share. They can access Boeing and industry intelligence through applications, APIs, analytics and AI-enabled experiences.

Boeing said Dataliner includes access controls, encryption and monitoring to help protect sensitive aviation data. Its on-demand sharing model does not require airlines to centralize their data on a single platform.

“By combining Boeing’s OEM and aviation expertise with Microsoft’s trusted data and AI technologies, Dataliner gives airlines a secure, scalable foundation to turn fragmented data into fleet-wide intelligence,” said Chris Barry, president of U.S. Public Sector Industries at Microsoft.

Dataliner To Support Boeing’s Digital Services Portfolio

Boeing also said that Dataliner will provide a common intelligence foundation for its Digital Services portfolio. It will support the development of Asset Lifecycle Planning and TechOps AI Agent, while creating opportunities to bring greater connectivity and intelligence to existing products, including Airplane Health Management, Insight Accelerator and Maintenance Performance Toolbox.

BMO Raises Microsoft Price Target

Separately, BMO Capital on Tuesday raised its price target on Microsoft to $600 from $515 while maintaining an ‘Outperform’ rating, according to The Fly.

The firm sees “upside tension” to its first quarter (Q1) Azure revenue estimates, citing positive cloud-check feedback. BMO also believes Azure revenue can “accelerate in Q1 vs. Q1.”

For Microsoft 365, BMO said the company’s shift toward a consumption-based model could support average revenue per user and sales mix as seat growth moderates.

How Retail Views BA-MSFT Partnership

Retail sentiment on Stocktwits for BA remained in ‘bearish’ territory over the past 24 hours, with ‘extremely high’ message volume. Meanwhile, sentiment around MSFT continued to trend in the ‘extremely bearish’ zone, with ‘normal’ levels of chatter.

MSFT shares have gained over 9% year-to-date, whereas BA shares have dropped over 11% year-to-date.

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