St. George » A bad apple spoiling the barrel is a metaphor Joe Banos could live without, especially when there are millions of dollars at stake.
As chief operating officer of Wilson Electronics Inc. in St. George, he and his company are taking on the giants of the wireless communications industry, who are lobbying for regulations that would severely restrict use of cellular amplifiers and antennas made by Wilson and others.
The amplifiers, which dramatically boost a cell phone signal, can be used in vehicles, homes or offices, and are popular in rural areas such as southern Utah where coverage can be spotty or nonexistent. Cell phones nest in the amplifier, which has an antenna that connects to an exterior antenna.
But according to the CTIA-Wireless Association, a trade group that represents such companies as Verizon Wireless and AT&T whose cell towers dot ridges and hills, the amplifiers have the unintended consequence of interfering with tower signals. The association contends the interference results in its customers losing service and experiencing dropped calls.
In an age when most companies want less interference from the federal government, the dispute has placed Wilson in the unusual position of asking the Federal Communications Commission for more rules when it comes to regulating standards for its devices.
One of the biggest manufactures of amplifiers and antennas in North America, Wilson has sold more than 2 million of them since 2001 (ranging in price from $120 to $700), usually through Best Buy and other big-box stores or online at Amazon.com.
While pointing to those sales figures as evidence there is consumer demand, Banos also concedes that inexpensive, poorly made amplifiers can cause havoc with cell tower signals, which he says taints his entire industry.
He insists that Wilson's engineers have overcome the interference issues, and that the real problem is a lack of manufacturing standards within his industry.
So, in its petition to the FCC, Wilson asked the agency to set rules and manufacturing standards for the devices, which the company contends are lacking. Four other firms have filed petitions with the FCC seeking clarification on everything from technical and operational use of the boosters, to marketing and installation. The agency has taken the requests under advisement.
"The comments we received will be reviewed and we will go from there," said Matthew Nodine, chief of staff of the FCC's Wireless Communications Bureau.
Although Wilson has patented the technology for producing the "clean" boosters, making it possible the company would be the only supplier to competitors if its petition is granted, Banos said profit is not the primary motive.
"Of course a monopoly is great, but there are other engineers out there with the wherewithal to do what we have done. It's not like launching the Space Shuttle."
By making better products, Banos said Wilson and other manufacturers can create devices that he contends are essential for delivering cell phone signals to remote regions and metropolitan areas alike.
He said amplifiers help police and fire departments in rural settings and that the devices have been purchased by 500 government agencies, including the Department of Homeland Security and the FBI.
In Wilson's FCC petition, attorney Russell D. Lukas cited the example of a tour bus that crashed in 2008 near Mexican Hat in southeastern Utah, killing nine and injuring 43. "The motorist who discovered the accident had to drive 36 minutes before they could get a signal to report the accident," the document states.
The reporting delay prompted the National Transportation Safety Board to recommend that the American Bus Association and United Motorcoach Association advise their members "to carry mobile cellular amplifiers or satellite-based devices to communicate emergency events," according to Lukas' petition.
For its part, the Wireless Association doesn't buy these arguments.
Brian Josef, director of regulatory affairs for the Washington, D.C.-based organization, said signals from the devices should be broadcast on assigned frequencies, much the way ham radio operators do, rather than on frequencies used by the carriers.
His group wants the FCC to clarify that the sale or use of signal boosters without the consent of a wireless company be unlawful.
He argues that the devices made by Wilson and others, rather than being an aid to public safety agencies, actually have drawn complaints from law enforcement in many parts of the country because the amplifiers interfere with their frequencies.
It takes thousands of hours to track down such interference, Josef said.
As for Wilson's efforts to strengthen standards for the devices, Josef contends that ever-changing technology and constant adjustments to equipment based on demand make a single standard hard to create.
He also questions the need for amplifiers and antennas, noting that between 2001 and 2008, the wireless industry invested $23 billion to meet mandates designed to ensure that carriers address the needs of consumers, including those in rural areas.
Wilson intends to continue the fight, and last week got some high-powered support when Utah Sens. Orrin Hatch and Bob Bennett sent a letter to FCC Chairman Julius Genachowski, encouraging the agency to establish standards for signal-enhancing devices.
