I was told the engine reporting system, the one that gave the satellite pings which told the searchers that the plane flew for hours after it was lost, was quite capable of reporting the planes speed and location as well as engine condition.
I was also told the cost of this service was only $10 a flight which the airline had declined as a cost saving measure.
($10 a flight, not $10 a ticket)

Maybe somebody more informed about avionics could explain this part of the story a bit better.