Corruption Responsible for 80% of Your Cell Phone Bill

[usrname]

9. The graph and interpretation is misleading

Cost to put up cell towers has dropped as manufacturing and operations costs have dropped, so it's not so hard to put up a cell tower as before. The towers are now smaller and easier to erect. Also, there's less demand for towers are many places are already well saturated with towers. I mean, eventually, there should be no need to add any more towers, and perhaps just maintenance of existing towers would be enough. Also, revenue has gone up exponentially, so the percentage cost allocated to capital expenditures shouldn't stay at the same rate. Capital expenditures should always decrease over time, as a percentage of revenue. Otherwise, you have capital expenditures as a variable cost growing comparably to the rise in revenue. That would be a bad business model. Cell phone companies don't even make their phones, so even the manufacture of phones, which is a variable cost, is not included as a capital expenditure.

The graph is correct, but the interpretation is completely wrong and misleading.