1/24/01 -
ARC System Offers Significant Cost/Performance Advantages
PLATFORMS WIRELESS INTERNATIONAL CORP ("PLFM-L") - ARC System Offers
Significant Cost/Performance Advantages - vs. Terrestrial Cellular Systems
Platforms Wireless International Corporation, the developer of the revolutionary Airborne Relay
Communications "ARC System" for wireless voice and data communications, announced it has
completed a significant competitive study on the ARC System vs. Terrestrial Cellular Systems. The
Study did not include satellite systems, as PLFM does not consider satellites a viable commercial
service alternative.
Francois Draper, Executive Vice President, COO / CTO stated: "We're pleased to announce we
have completed a competitive analysis of the ARC System and developed a Cost / Performance
Simulation Model ("CPSM"), which enables us to objectively analyze, quantify, and forecast a
Wireless Service Provider's revenues, operating costs, and net margins using the ARC System.
"The ARC System CPSM, which uses a single Columbia, 7-beam ARC System platform with a
service capacity of 150,000 subscribers, and a service coverage diameter area of 140 miles,
demonstrates that: (i) given representative emerging nation telecommunications infrastructures and
market demographics; (ii) using current industry-standard technology, financing terms, operating
revenues, and overhead rates; and (iii) assuming comparable levels of service capacity and
coverage -- the ARC System offers significant cost/performance advantages over a Terrestrial
Cellular System:
1. The ARC System costs less than half as much to install, deploy, and operate
2. The ARC System generates more than twice the profit margin
"The ARC System CPSM Model we recently constructed for a prospective client," continued Mr.
Draper, "produced a projected net profit of $214 million over a 10-year lease/purchase model, with
operating profits beginning the first year, and distributed over the term of the lease as indicated in
the table below:"
ARC System CPSM Model
10-Year Lease/Purchase Operating Profit Model
Year Annual Net Profit ('000) Cumulative Profit ('000)
1 $4,207 $4,207
2 5,149 9,356
3 8,609 17,965
4 10,950 28,915
5 15,695 44,610
6 20,533 65,143
7 27,306 92,449
8 35,521 127,970
9 41,686 169,656
10 $45,101 $214,757
"We're confident the ARC System will provide telecommunications Service Providers with an
efficient and cost-effective solution to expand their service coverage and enhance their competitive
market position," concluded Mr. Draper.
About Platforms Wireless International
Platforms Wireless International Corporation, headquartered in Los Angeles, California, is the
developer and marketer of the revolutionary wireless communications technology known as the
Airborne Relay Communications "ARC" System, and its family of Airborne, LTA host
infrastructures, the Zer0Gravity AeroStructures(R). Management believes that these significant
advances in the field of Airborne wireless communications technology, together with continuing
technology improvements and new developments, will provide an efficient, cost-effective,
all-broadband, voice and data communications alternative for augmenting, replacing, and
supplementing terrestrial wireline and cellular telecommunications infrastructures, as well as high and
low-earth orbiting satellites -- at a savings in both cost and deployment time, as compared to
conventional systems. Platforms has already announced its first ARC System Conditional Contract
with AMERICEL, S.A., one of the leading cellular telecommunications service providers in Brazil.
Platforms can be found on the Web, at: www.plfm.net .
Safe Harbor Act Disclaimer
FORWARD-LOOKING STATEMENTS -- The statements contained in this Press Release,
which are not historical facts, are "forward-looking statements," within the meaning of Rule 175
under the Securities Act of 1933, and Rule 3b-6 under the Securities Exchange Act of 1934, and
as defined in the Private Securities Litigation Reform Act of 1995, and such statements qualify for
the Safe Harbor protection afforded under such Acts. Forward-looking statements can be identified
by the use of forward-looking words, such as "believes," "expects," "may," "will," "should,"
"anticipates," or the negative thereof, or other variations thereof, or comparable words, or by
statements related to future plans, strategies, or other business development activities that involve
risks and uncertainties. Management cautions the reader that "forward-looking statements"
including, without limitation, statements regarding Platforms technology, products, marketing plans
and strategies, markets for its products and services, and expected, projected results of operations,
are all predictions, expectations, and anticipations. No assurances can be given that such
predictions, expectations, and anticipations will prove accurate and correct, or that anticipated,
projected future results will be achieved. Numerous risk factors can cause actual results to vary
materially from the future results indicated, expressed, or implied in forward-looking statements.
Such risks and uncertainties include, but are not limited to Platforms' ability to successfully market
its products and services to new customers; the Company's ability to obtain necessary financing to
support corporate operations and finance the acquisition of test equipment and systems; the
Company's ability to obtain required permits, licenses, and authorizations in a timely manner; the
Company's performance of a successful ARC System Demonstration in Brazil; the ability of Service
Providers to successfully market ARC System wireless communications services to subscribers; the
ARC System's capability to cost-effectively and profitably penetrate higher-cost, rural area
markets; and the unknown impact of probable entry into the market by larger, better capitalized
competitors. Therefore, there can be no assurance that the information indicated, expressed, or
implied in the forward-looking statements contained in this Press Release will prove to be accurate
or correct, and future events and actual results could differ materially from those indicated,
expressed, or implied in these forward-looking statements. Agency Contacts: TEL: 212-752-9445
Brad Meyer or Harvey Goralnick Email: plfm@focuspartners.com Media Contact: TEL:
914-238-3162 Susan Bolen Email: plfm@focuspartners.com |
