Lu Xun, You are correct, IMO, regarding G* published revenue ramp up being slower than what we longs might like. Remember we will only see minutes of use to gauge G* performance. Sales of handsets will not be available, from what I understand, so we cannot use that metric as a future performance indicator.
What I wonder about is the disparity in stock performance of LOR vs G*. As we all know, the LOR revenue stream is broadly based and significant capacity will be launched over the next few months. The GEO market is fairly well known, compared to G*, and revenue data will be available quite quickly compared to G*. With LOR 30 percent (?) up from its inception, and G* up, what 2X (or is it 4X ?), I wonder if LOR stock appreciation has more potential over the next year. While G* will be seen by the market as a potential liability for LOR, as IRID is for MOT, LOR should do well even if G* only breaks even. Remember much of the operating cost (gateways) of G* is borne by the service providers. Only the orbital segment is LOR's responsibility. So from a market viewpoint (reward/risk), LOR is extremely attractive. |
