Globalstar Telecommunications Limited GSAT Message Board

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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT

GSAT 66.11

+6.0%

2:07 PM EST

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To: RMiethe who wrote (4402)	5/1/1999 6:33:00 PM
From: A.J. Mullen	Read Replies (3) of 29987

And I, in turn, think you miss my point. Globalstar is pushing itself as a service complement to cell phones. Why else sell a dualmode phone? They want to graduate cell users to Gstar users via the dual mode. Everyone will use cellphones when they can becausue they are cheaper. I don't think that is in dispute. There are ranchers in the Pampas, sheep ranchers in the Australian outback, tobacco farmers in Zimbabwe, and Game farmers in South Africa. But not many. Gstar is going after wealthy people with their dual mode phone - not super rich by US standards, but relatively well-off. Most of those people live in cities. Most people of all sorts live in cities. Cities already have cell phones. Cell phones are more important where there are not decent landlines. Cell phones are the intoduction to Gstar, and the competition. I wholehearted agree with MAurice that there is demand from the poor too. I have said that I think payphones could be very profitable. In Africa, males go to the cities, leaving their wives behind to look after the land and children. I believe this also happens in Mexico, perhaps many countries. The dual mode phone is not for them. One Gstar payphone in a poor village could attract much more business than a couple of dozen dualmode phones. The dual mode phone will go to people who are used to cell phones. They want improved coverage. The dualmode offers that, but the improved coverage is limited in ways we have discussed. The question is whether that (limited) improvement is worth the extra weight, bulk, and cost.

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