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To: Rajala who wrote (15900)10/2/1998 10:21:00 AM
From: DaveMG  Respond to of 152472
 
Raj,

I'm asking because we've talked a lot about handsets but very little about the calling costs, which, as has been suggested by Gregg, is a very very important factor for those making decisions about infrastructure purchases.As I'm sure you noticed, Sprint, and ATT are now offering 10cents a minute anywhere anytime, the result of open competition in the mktplace, a benefit to consumers IMO although the multiple standards are also a pain in the A.

I wasn't thinking about Globalstar at all, although there's no question in my mind that for the near term, ie the next few years, G* will offer the best truly global handset for the traveller who really needs such a device.

dave



To: Rajala who wrote (15900)10/2/1998 1:55:00 PM
From: Joe NYC  Read Replies (1) | Respond to of 152472
 
Rajala,

Just to give an example I called one operator and they have (one of their schemes, peak hours) national mobile to fixed 37c a minute, national mobile to mobile curiously much less at 13c a minute and to Germany 81c a minute.

Just FYI, in my area, Sprint is offering 10c / minute anywhere in the US (about the size and population of whole Europe, not a single European country). This is 10c / minute to fixed or wireless.

Bell Atlantic is offering unlimited mobile to other Bell Atlantic customers for $10 / month in addition to yor normal monthly bill.

These are 2 CDMA operators. ATT (TDMA) is similar to FON and BEL, but according to Greg, they may be losing money. Omnipoint (GSM) was significantly more expensive. I think they lowered their prices recently, but they are still the most expensive.

Joe



To: Rajala who wrote (15900)10/2/1998 11:37:00 PM
From: Drew Williams  Read Replies (2) | Respond to of 152472
 
<< BTW I know why you are asking. Answer is no, satellite phones will not be able to compete. >>

a) The business plans for Iridium and Globalstar (the only two significant worldwide satellite phone systems likely to be operational in the reasonably near future) do not show them as intending to compete with any cellular/PCS network. They are intended to augment rather than replace existing services. For instance, I will be able to drive all around my third world home state of Pennsylvania and not have to worry about gaps in land based network infrastructure.

b) The announced pricing for Iridium and Globalstar calls is significantly higher than current and anticipated cellular/PCS pricing. However, even with currently launched and launching technology, it would be possible to operate a significantly less expensive satellite system, one competitive with land based cellular/PCS networks, if we assume a high enough usage of potential capacity. This is particularly true for Globalstar. We can also assume the satellite capacity and pricing will improve as time goes on.

It is my opinion that there is plenty of business for everyone. Everyone should prosper. At least in the United States, the market is large enough to support multiple technologies, which also speaks well for satellite phones as the ultimate roaming instrument.