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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT
GSAT 59.15-5.9%3:59 PM EST

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To: Maurice Winn who wrote (20363)12/21/2000 1:59:16 PM
From: Tarken Winn  Read Replies (2) of 29987
 
Japanese imode cost vs G* data cost

Okay, I've just gone to nttdocomo.co.jp and checked out pricing for sending email on the Japanese imode system. For those who don't know, imode is the most successful wireless data service currently operating anywhere. Data is billed based on the AMOUNT TRANSMITTED rather than the time connected. The transmission rate is 9.6 kbps - just like our faltering G*. In the last 18 months (approximately) they have signed up 16 million customers and the system is heavily used!

Okay, now to the pricing... a 250 character email is charged at 4.2 yen to send AND 2.1 yen to receive. That is a total cost of 6.3 yen to send an email to your mate on the imode system. (Because a Japanese character is 2 bytes rather than 1, 250 characters is 500 bytes.) So at 9.6 kbps [1.2kBps] it takes about 0.42 seconds to send a 250 character email and the customer(s) pay 6.3 yen (if the email is being sent to another imode user - 4.2 yen if not) In a minute it would be possible to transmit 144 of these messages. That is 907 yen per minute or 54420 yen an hour. I don't know the exact exchange rate (with US$) but that's about US$500 an hour give or take thirty bucks. DESPITE THAT HEFTY PRICE-TAG, PEOPLE LOVE THE SYSTEM AND USE IT CONSTANTLY!! Sell G* and buy NTTDocomo? 8-)

So, G*'s paltry US$60 an hour for data is absurdly cheap, we'll have MILLIONS of users in a VERY short time! Surely... doesn't it sound cheap to you?

Tarken

PS> I think a BIG difference is that imode charges for DATA, not for CONNECT TIME.
PPS> I'm surprised data is so expensive on the imode system having seen how extensively it is utilised.
PPPS> I don't think G* will have many customers at $60 an hour! I think billing for time connected rather than the amount of data sent is ridiculous! Even GSM text messages are 20 cents each, to a maximum of 160 characters - NO PER MINUTE CHARGE!!
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