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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT -- Ignore unavailable to you. Want to Upgrade?


To: djane who wrote (6422)8/11/1999 3:33:00 PM
From: Rocket Scientist  Read Replies (4) | Respond to of 29987
 
My comment would be that VSAT service will be a definite competitor with G* for fixed rural telephony. I've thought so for a long time.

In G*s favor is the relative absence of latency, and profit motivated service providers that should be in a position to quickly deploy (cheaper than VSAT) G* ground terminals where they make economic sense.

Rural telephony via GEOs has been around for a long time, but there hasn't been much profit incentive for anyone to deploy it. They've been deployed largely by govt's with usual budget and political constraints, therefore slowly. Maybe that will change, maybe not. But G*'s long term market should be mostly mobile users and those who are willing to pay a premium to avoid SofL delays associated with GEOs.

I believe the space segment costs for GEO rural telephony is substantially cheaper than G* .