Sprint Nextel Corp and the cell phone industry as a whole is fighting FCC requirements to provide at least 8 hours backup power at all its cell sites, a move that would ensure reliable emergency communications when it's needed most -- which was not the case in the aftermath of Hurricane Katrina.
Sprint Nextel Corp says the requirement would lead to "staggering and irreparable harm" and present a huge economic and bureaucratic burden for the company -- and that costs couldn't be recouped through legal action or passed on to consumers.
I did some math. An AP article states there are 210,000 cell sites in the country and upgrades would cost up to $15,000 per site. Assuming there are 100 million cell accounts, then the total upgrade cost would be $3.2 billion or $31.50 per customer. That amounts to only about $2.63 per month per account for the first year, and significantly less thereafter. Hardly "staggering and irreparable harm".
Sunday, March 9, 2008
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