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Technology Stocks : George Gilder - Forbes ASAP

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To: Ilaine who wrote (2996)3/2/2000 3:44:00 PM
From: Dan B.  Read Replies (1) of 5853
 
CobaltBule,

Re: "I am trying to imagine who needs, and can afford, a cellphone that costs $1.70/minute U.S. but can't get to a land line."

Back in the early 70's, a minute of wired long distance cost about what G* is starting with(unlike much costlier iridium)- and back then, that wired service was used by millions(if far more sparingly), at a time when the typical income level was about, oh, conservatively less than a third what it is now- maybe a sixth? With the whole world to draw from(unlike iridium), and millions of millionaires in this country alone today, I can imagine imminent G* success. They intend it to be used as a temporary fill-in for dead spots in cell coverage in this country, and I think that's going to be a security feature lots of families will want, drawing from the same security impetus that still drives some of the traditional cell phone purchases.

The "it takes a village" argument also holds promise. That's service where there would otherwise be none- though of course you are right- no average Ethiopian is likely to blow his yearly income using under 1500 minutes of G* phone time(LOL)- still, I would think that ALL the villages are likely to acquire at least one phone in some quarter, now that it's possible to get one at all. G* availability plants seeds of desire. Iridium didn't attempt that.

So I'm not sure(seldom am,if ever), but G* really could kick butt.

Does this begin to make sense?

Dan B
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