|
|
|
ONLINE FEATURES
Book Reviews
BW Video
Columnists
Interactive Gallery
Newsletters
Past Covers
Philanthropy
Podcasts
Special Reports
BLOGS
Auto Beat
Bangalore Tigers
Blogspotting
Brand New Day
Byte of the Apple
Economics Unbound
Eye on Asia
Fine On Media
Green Biz
Hot Property
Investing Insights
Management IQ
NEXT: Innovation
NussbaumOnDesign
Tech Beat
Working Parents
TECHNOLOGY
J.D. Power Ratings
Product Reviews
Tech Stats
Wildstrom: Tech Maven
AUTOS
Home Page
Auto Reviews
Classic Cars
Car Care & Safety
Hybrids
INNOVATION
& DESIGN Home Page Architecture Brand Equity Auto Design Game Room SMALLBIZ Smart Answers Success Stories Today's Tip INVESTING Investing: Europe Annual Reports BW 50 S&P Picks & Pans Stock Screeners Free S&P Stock Report SCOREBOARDS Hot Growth 100 Mutual Funds Info Tech 100 S&P 500 B-SCHOOLS Undergrad Programs MBA Blogs MBA Profiles MBA Rankings Who's Hiring Grads |
DECEMBER 29, 2004
By Amey Stone Cell Phones Prepare for Takeoff The FAA and the FCC are launching new reviews that could soon end the current ban on in-flight use. And not everyone is happy Executives who need to be accessible 24 hours a day may soon lose their last bastion of privacy: flight time. Those first few moments of peace after the pilot has alerted passengers to shut off all electronic devices are often doubly sweet because the boor two seats back -- apparently screaming at an underling about an important business matter (which probably isn't at all crucial) -- is also forced to disconnect. But what if passengers are no longer prevented from yakking? Air travelers take heed: Talking on the phone while in the air will soon be commonplace. Up to now two main concerns caused regulators to restrict cell-phone use on planes. The Federal Communications Commission worries that airborne cellular transmissions could interfere with ground-based wireless networks. And the Federal Aviation Administration fears cell phones could interfere with onboard navigation and communications systems. Some industry analysts believe wireless technology has improved to the point that such concerns are now unwarranted, which is why both regulatory arms are now subjecting the question to further study -- even though many travelers see the ban as a blessing. "VIOLENT INCIDENTS"? "I do not believe the minuscule level of passenger satisfaction with the current airline experience could survive the additional hit" if passengers get cell-phone privileges, says Bernie Schaeffer, CEO of Schaeffer's Investment Research and a frequent flyer, who was interviewed by e-mail. "I have little doubt that violent incidents would occur as a result." Better get ready to duck. On Dec. 15 the FCC took the first big step. It proposed relaxing its current ban on cell-phone use on airborne aircraft, asking for public comment on various technical ways it could do so while limiting potential interference with cellular systems on the ground. Reflecting the social as well as the technical concerns this raises, in his opinion on the decision FCC Commissioner Michael Copps wrote: "Many airline passengers don't relish the idea of sitting next to someone yelling into their cell phones for an entire six-hour flight. I know I don't!" He urged commission members to factor in what he called "the annoying-seatmate issue" in its rulemaking. MORE AFFORDABLE TALK. That day the FCC also proposed new rules for air-to-ground communications that would allow for high-speed Internet connections. Currently only Verizon (VZ ) Airfone is providing voice service -- at the sky-high basic rate of $3.99 a minute plus a $3.99 connection fee. The FCC is proposing to reconfigure the spectrum Verizon uses for this service and holding new auctions so additional companies could also offer airborne high-speed Internet. Then passengers would get capability for e-mail, instant messaging, and -- yes -- Internet telephony, at a much more affordable price. Verizon is planning to make its Airfone more competitive. In June, 2004, it announced a service that lets its wireless subscribers forward cell calls directly to an Airfone handset. They can then talk on the plane for just 10 cents a minute plus a $10-a-month fee. Airfone also allows collect calls, has a JetConnect text-messaging service, and expects to eventually provide broadband. "If cell-phone calls are cheaper than those provided onboard by airliners today, then there's going to be a lot more annoying chatter on the airplane," says independent consultant Phil Leigh, president of Inside Digital Media, in an e-mail interview. "Air travel is already tough enough without adding even more aggravation." Leigh thinks the FCC and the FAA, which has final say since it regulates air safety, will move slowly on the issue. Most estimates are that cell-phone calling from planes is still two years away. "ALL ABOUT CHOICE." But for international flights, wireless voice communication is already a reality. Connexion by Boeing (BA ) started providing high-speed in-flight Internet connectivity on many of Lufthansa's overseas trips last year for $30 a flight. Calls can be made on that connection using voice-over-Internet protocol (VoIP) technology. Connexion expects to expand service significantly in 2005. "Some people say, 'Oh, my last bastion of solitude is gone,'" says Tom Tripp, spokesman for Lufthansa. "But a lot of people love it. It's really all about choice." Tripp says most people use the service for e-mail and instant messaging, and complaints about voice callers have yet to be an issue. According to FAA rules, an airline has to prove that an electronic device doesn't interfere with the safe operation of the plane before it can be used. But in March, 2003, it asked a committee on technical issues to study the airborne use of electronic devices. It will report by January, 2006. CONVERSATION PITS. Meantime, last summer American Airlines (AMR ) and Qualcomm (QCOM ) completed a test of mobile-phone use in a plane outfitted with a state-of-the-art "picocell" network and found passengers were able to place and receive calls as if they were on the ground. "Our customers want to be able to use mobile communications," says Tim Wagner, spokesman for American Airlines. "It isn't an option anymore, it is the norm." Airlines say they'll make sure new service offerings don't make other passengers uncomfortable. Communications could be limited to data transfers except for certain areas of the plane or during certain times of the flight, for example. "We're not ready to talk about solutions to a problem we don't have yet," says Lufthansa's Tripp. "In the end these things are somewhat self-regulating," he observes. For now it seems the "annoying-seatmate" issue is getting short shrift as airlines, regulators, and tech outfits strive to make cell-phone calling from the air a reality. For savvy flyers, that means in addition to stowing a travel pillow and eye mask in your carry-on bag, you'll soon need to add a pair of earplugs. Stone is a senior writer for BusinessWeek Online in New York
BW MALL
SPONSORED LINKS
Buy a link now!Get BusinessWeek directly on your desktop with our RSS feeds. ![]() Add BusinessWeek news to your Web site with our headline feed. Click to buy an e-print or reprint of a BusinessWeek or BusinessWeek Online story or video. To subscribe online to BusinessWeek magazine, please click here. Learn more, go to the BusinessWeekOnline home page | |