Skip to main content

GPS accuracy concern in US

Pressure is growing in the US over concerns that GPS accuracy could be affected. A coalition has formed that comprises an array of the leading construction equipment manufacturers, GPS technology providers and other concerned bodies including those from the agricultural and airline industries. The coalition claims that up to 3.3 million US jobs could be affected by the threat to GPS accuracy, with an economic impact of some US$96 billion in annual direct economic benefits to the US economy.
April 17, 2012 Read time: 3 mins
Pressure is growing in the US over concerns that GPS accuracy could be affected.

A coalition has formed that comprises an array of the leading construction equipment manufacturers, GPS technology providers and other concerned bodies including those from the agricultural and airline industries.

The coalition claims that up to 3.3 million US jobs could be affected by the threat to GPS accuracy, with an economic impact of some US$96 billion in annual direct economic benefits to the US economy. The threat is said to come from plans by a firm called 2628 LightSquared to install wireless broadband across the US. The firm has plans for some 40,000 base stations across the US and the concern is that the frequency used will be close to that of the GPS signals, causing interference and negatively affecting accuracy.

A study by Dr Nam D Pham of the Washington, DC-based NDP Consulting Group warns of, “…serious economic repercussions for the US economy” if LightSquared’s plans proceed. The study says that the $96 billion figure represents the equivalent of 0.7% of the US economy. This $96 billion comprises up to $87.2 billion in costs to commercial GPS users and up to $8.8 billion in costs to commercial GPS manufacturers. The commercial benefits of GPS are largely enabled by high precision GPS technologies. The study states that the commercial adoption of GPS continues to grow at a high rate and is expected to annually create $122.4 billion in benefits and grow to directly affect more than 5.8 million jobs in the downstream commercial GPS-intensive industries. The study makes clear that its analysis is confined to the economic benefits of GPS technology to commercial GPS users and GPS manufacturers, mainly high precision GPS users, and the economic costs of GPS signal degradation to only those sectors. The report therefore does not capture the considerable benefits and costs to consumer users of GPS, other non-commercial users and military users. The analysis shows that GPS equipment revenues in North America in the 2005-2010 time period averaged $33.5 billion per year and that commercial sales accounted for 25% of the total, while the consumer and military markets respectively made up 59% and 16% of the total. The report notes that the US Government has already invested $35 billion in taxpayer money in the GPS satellite constellation and continues to invest in GPS at a rate of about $1 billion/year.

For more information on companies in this article

Related Content

  • Coming round again
    June 28, 2012
    A colleague of mine, Mike Woof, the Editor of World Highways magazine, recently attended an open day event at a major ITS research establishment, the object of which was to showcase how the use of in-vehicle ITS technologies could improve fuel consumption and reduce emissions. Mike's expertise brings him into daily contact with the types of plant and equipment used to build roads and, as he related to me afterwards, he'd gone to the event filled with enthusiasm and came away somewhat disheartened.
  • Eco fuel economy
    April 19, 2012
    A study conducted by VTT Technical Research Centre of Finland suggests that there is practically no difference between commercial petrol grades 95E10 and 98E5 sold in Finland with regard to fuel consumption during normal driving. The finding is based on driving tests conducted by VTT using six used cars of different make under laboratory conditions. It has been claimed in public that fuel consumption is higher with 95E10 petrol than with its predecessor 95E or the 98E5 petrol currently on the market. The su
  • WiM avoids bumps in the road
    May 5, 2020
    Road surfaces are deteriorating as years of budget squeezes bite among local authorities. Adam Hill asks leading Weigh in Motion players what effect this might be having on the accuracy of their technology – and how authorities can be made to see that WiM is a helpful tool
  • Costing transit is complicated case
    August 19, 2015
    David Crawford welcomes fresh thinking from Canada. Public transit improvements can bring society “significantly more value” than conventional transport models normally indicate, argues Canadian researcher Todd Litman. “Traditional evaluation practices originally developed to assess roadway improvements, and focus primarily on vehicle travel speeds and operating costs. “They do not generally quantify or monetise basic mobility benefits, vehicle ownership and parking cost savings, or efficient land developme