NextNav notes report on total quantified value of terrestrial GPS backup

NextNav (NN) announced that its plan for a terrestrial PNT backup and complement to GPS in the Lower 900 MHz would prevent hundreds of millions of dollars in losses in the event of a global GPS outage. The Brattle Group’s economic analysis finds that a 1-day global GPS outage could cost the American economy $1.6 billion, and NextNav’s proposal could prevent a loss of $663 million to the economy for a 24-hour outage period. Adopting NextNav’s proposal to reconfigure the Lower 900 MHz band offers the US economy a $10.8 billion insurance policy to protect against GPS outages without taxpayer funding, plus additional benefits of $3.8 billion from increased resiliency. The total quantified value of a GPS backup is $14.6 billion based on The Brattle Group’s report. Conducted by economists Coleman Bazelon and Paroma Sanyal of the Brattle Group, a highly recognized global economics firm, the study carefully evaluates the potential economic impact of a GPS outage and explores various scenarios that could result in a GPS disruption. It also examines the benefits of adopting NextNav’s proposal, including enhanced location accuracy that would benefit first responders to help improve emergency services. “The need for greater resiliency in lifesaving and mission-critical terrestrial PNT technologies has been acknowledged by four Presidential administrations, yet few proposals have provided a clear path to a robust solution without substantial government intervention or taxpayer funding,” said Dr. Coleman Bazelon, lead economist of the report. “Our analysis shows that NextNav’s widescale solution provides a total economic value of $14.6 billion and the equivalent to more than a $10 billion insurance policy if GPS goes dark.”