Next week the Metropolitan Transportation Authority (MTA) is expected to vote in favor of allowing Transit Wireless to build an underground cellphone network. The plan, which would place a cellphone network in 277 subway stations, involves Transit Wireless paying New York City Transit $46.8 million over 10 years, in addition to the $150-$200 million in network installation fees.

If the MTA approves the plan next week, six downtown Manhattan stations will be built in the first two years, and the remaining during a subsequent four-year period.

Don’t get too excited yet, however, because even though it appears Transit Wireless will be building an underground network, the major cellphone companies (AT&T, Sprint, T-Mobile, Verizon) have yet to sign on. Carriers will have to pay Transit Wireless to use their underground service, in which case whoever belonged to participating carriers would be able to use their cellphone in the subway system.

At the time of this writing carriers are awaiting the MTA decision next week, and at that point will consider negotiating options and rates with Transit Wireless. I’m sure if the carriers declined there could still be some sort of service options directly from Transit Wireless to consumers. They’re not going to spend $200 million and let it sit there. Perhaps a monthly/annual service fee for unlimited use in the subway network. It could be valuable for daily commuters.