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

To: Daskin who wrote (13536)	6/15/2000 2:27:00 PM
From: Ed Hodder	Respond to of 29986

For G to survive the pricing is everything. People would choose G* instead of a regional cellphone only when G's price per minute is at the same level. As a consumer, I'm not as concerned about the price per minute so much as the buy in and monthly charge. The one service provider in the US charging $19.99 + $1.99 per minute would work fine for me, but the $1,000 + for the phone keeps me away. I wouldn't expect to use the G* service an awful lot so I can live with the per minute, even though it's high. For me it's not a question of G* OR cellular but cellular with a G* 'value added' service. (Bundled!) However, this brings up another problem with marketing/news. While it's pretty clear in the news releases and such that the G* phone is compatible with CDMA cellular, the pricing issue is ambiguous. My impression is that the distinction between a cell call and a sat call on a G* phone isn't being made clearly. I've seen one release that I can think of off-hand that make this distinction well. The others could be interpreted as any call on a G* phone will cost upwards of $2.00/minute (before roaming rates kick-in). If G* survives long enough to get the equipment prices down and they can communicate the technology better they should be able to reach a relatively broad (not huge) market in the US and still keep per minute costs well above cellular. Living on the Great Lakes there sure looks like a market here. I know cellular goes out into the water a ways but it must stop somewhere. Watching this company is like following Irish politics. There's a great idea on the table that's just a devil to execute. Ed