Montana may not be a hugely populated land, but those who live there still want to know they have reliable cell coverage. CEO and general manager of Nemont Telephone Cooperative, Mike Kilgore, said that there is less than one person per square mile in that part of Montana, and that there are a lot of miles to cover as a cell phone provider. His company currently serves 25,000 square miles. Visitors traveling through, farmers and ranchers are using wireless more often to conduct daily business, which is becoming a challenge for providers of rural areas east of Billings.
“There are fewer people to pay for the constantly changing communication networks of the 21st century,” Kilgore told the Economic Affairs Interim Committee on April 14. “These systems are expensive to build from a capital investment standpoint and expensive to maintain.” He said that is was not “economical” to serve rural areas without some support from the state.
The Missoulian reports that the state’s interim committees may look into possible recommendations for the issue, including some sort of legislation for future sessions. The state, however, must decide if rural wireless and broadband service fit into the list of priorities.
“Would the taxpayers of Montana be willing to support funding to enhance modern telecommunications service in rural Montana?” Kilgore asked the newspaper. “Quite frankly I believe it’s a tough one.”
There are several other ways to help pay, including the federal Universal Service Fund, which is currently “frozen at 60 percent of what it used to be.” Legislators could also draft a bill to free some “stranded” money, or enact a new Montana Universal Service Fund to create broadband development that could focus on updating to 4G service.
Currently, Kilgore told The Missoulian that roaming revenue “is a big part of staying in business” via subscribers who travel through Montana.
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