Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Loral Space & Communications -- Ignore unavailable to you. Want to Upgrade?

To: Valueman who wrote (3969)	7/9/1998 8:39:00 AM
From: Geoff	Read Replies (1) \| Respond to of 10852

Thanks for the update Valuer. These launches are like the X-files. Every time you think you're going to get an answer, some weird twist occurs to prolong the agony. Don't get me wrong, I'm glad that G* is taking all the necessary precautions to ensure a successful launch, but man is it nerve racking. Here are some Readware comments for everyone to enjoy: =================== Subject: Re: ICO Telephony voice quality Date: Wed, Jul 8, 1998 11:57 EDT From: Readware Message-id: <1998070815575800.LAA18173@ladder03.news.aol.com> Good question. G* uses a variable rate vocoder. The most important resource in a satcom system is power (I think everyone agrees on that-- if not, let's say it is one of the most important.) A variable rate vocoder allows you to vary power as the voice requirements mandate. G*'s vocoder can vary from 4.8 kb to 9.6, as the voice requirements in a conversation dictate. Thus, it does not have to always operate at say 6.2, or 7.1. That way it saves power, and by allowing up to 9.6 it has the ability to accomodate that flow for the customer. I do not know if Iridium has the same sort of vocoder. I really don't follow Iridium that closely. Subject: Re: CD Radio Date: Thu, Jul 9, 1998 00:31 EDT From: Readware Message-id: <1998070904313100.AAA02063@ladder01.news.aol.com> The respected Yankee Group did the addressable projections on the CD Radio user base by the year 2001-2002. They are quite favorable. CD Radio's recent announcement of a change in orbital inclination gets rid of the technology "issues" that were plaguing it (not enough ground towers), as well as its announcement of an additional GEO to be launched by Loral for its service. Mexico has a digital satellite audio system that has been well received. It was only recently launched. There is also WorldSpace, I believe that's the name-- another competitor. The technology works (it's S-band-- been around for years), they have a good backer in Loral, and its chairman has been around awhile. He has a good reputation. However, it is the subscribscriptions that will drive this company. We here have done no work whatsoever on the subscription tallies announced by the Yankee Group. If you only believe half the subscribers that Yankee projects sign up ($9.95/month-- addressable), you take $110/year and multiply it by 500,000 for a revenue base in the year 2001. And if you only believe a quarter of the Yankee Group projections will sign on (net of churn) then you have 250,000, and so on. I suppose one way to approach CD Radio is to ask yourself if you would pay $110/year to have 50 (it may be 100 now) non-commercial stations on your car radio. Ask a number of individuals besides yourself if they would use the CD Radio service. That might give you an idea of how the demand roll-out would be for this service. More likely than not it would be a more appropriate medium in rural areas, and long-drive areas. I am not certain it would have the demand in urban areas like Los Angeles that it would have in Montana or the Dakotas. I have read that CD does intend to have its service in either Alamo or Hertz cars. Once CD's satellites are in the air, the company's operational costs/year are about $30 million for the three sats plus employee expenses (which, as you noted are small). Out of approximately 44 million automobile owners in the US, will 500,000 use CD Radio by the year 2001, 2002? That's probably how you determine its current investment value. =================