Globalstar Telecommunications Limited GSAT Message Board

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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT

GSAT 50.53

+4.7%

Nov 7 9:30 AM EST

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To: Snake who wrote (10)	10/6/1997 2:55:00 PM
From: Maurice Winn	of 29986

Bill, thanks for clearing up the completion date and launch schedule. The prices they charge are far from irrelevant. Assuming they are not handed over to some charitable institution to run, they will both charge what the market will bear. So their prices will be almost the same. What this will mean is that Globalstar will have huge bags of money left over after covering their costs which will enable them to fund more constellations and millions more subscribers will be able to join up. Iridium will not get so much profit and that means less reinvestment money available. New shareholders will also prefer to invest in Globalstar. It is a technology contest and the best system will win. "The best" of course includes cost. Unless there are factors about Iridium which enable them to differentiate their service and sell it for a higher price, they will lose ground to Globalstar. Iridium has the merits of earlier launch, lower satellites, greater coverage, longer handset battery life. So they should get a slightly higher price on average - but something like 1 cent per minute. The greater coverage is irrelevant really to nearly everyone. The important one will be battery life. I'm only guessing that Iridium handsets will have longer battery life because of the reduced transmission distance, but maybe CDMA is so efficient that the signal is actually LOWER powered than the Iridium TDMA signal. Anyone know? Another might be radiation into brains. These have got to be powerful signals to reach 2000 km. People worry about terrestrial milliwatt systems, so they are going to be pretty curious about the big power output from these things. Mqurice

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