Globalstar Telecommunications Limited GSAT Message Board

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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT

GSAT 58.82

+2.1%

3:33 PM EST

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To: Sawtooth who wrote (10188)	2/19/2000 7:16:00 PM
From: ccryder	Read Replies (2) of 29987

Even more to the point, Iridium is an expensive system to maintain. Several to many satellites are involved in relaying the signals from satellite to satellite. All involved must be working. So the system does not degrade gracefully. So it will be expensive to restore service quality and to maintain it. You will recall that at least one Iridium launch was cancelled. It was cancelled because Mot could save a few bucks. And the phone service continues to degrade. Maybe Mr A could comment but I suspect if 10 percent of the Iridium sats fail, the system performance would degrade 30 to 50 percent. If McCaw wants to use Iridium to build a customer base and then switch them to ICO, it would be expensive for him. He would have to maintain Iridium in good to perfect working order until ICO is ready. A very expensive proposition. Although CDMA gives G* an edge, an even greater edge is in G* lower cost of constellation and service maintenance.

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