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Technology Stocks : IRID - Iridium World Communications IPO Announced! -- Ignore unavailable to you. Want to Upgrade?

To: Joe Brown who wrote (1296)	2/6/1999 2:35:00 PM
From: Leon Chrisman	Read Replies (3) \| Respond to of 2693

Jack, sorry to break up the war stories - they are interesting... I wonder how much of the $69.95/month goes back to Iridium World Comm vs the rest going to your local provider? I hope they can have a life past this next 60 days as it might take time to build, ship, and sign up enough phones this soon, even with waiting customers. And those Kyocera folks aren't helping much either. I've really appreciated your posts and the efforts you've made by obtaining your own phone, contacting the powers, researching, etc. Also your pointing out actual use versus some of the silly posts here by non-RF engineers deciding that for some reason I* signals couldn't penetrate buildings but that G* signals could, etc. Don't bail on us! I would assume that when (customer demand) << (available phones or channel minutes) that prices will fall per supply and demand. No one has mentioned it here (that I've seen) but I've wondered just how I* compares to Inmarsat services - I suppose class "D" would be most appropriate. As I recall from several years ago, their sets are about the size of a lap top, sold for around $50k, and have to be "aimed" toward the stationary satellite nearest you. I tried one once and was surprised by the speech quality (fairly good) considering the very low data rates they use. I've no idea of their per minute rates but they are closer to the G* model - bent pipe to a limited number of ground stations so one has to add in the cost for the rest of the path. Anyway, I'd think I* would be a very attractive alternative to Inmarsat and at one point in the past they had plenty of demand - don't know what requirements they have for becoming a subscriber now. Again, keep up those informative posts - you have my thanks from Sunnyvale, CA. -------- Leon

To: Joe Brown who wrote (1296)	2/6/1999 6:25:00 PM
From: djane	Respond to of 2693

2/5/99 RedHerring blurb. Globalstar Telecommunications. Rising from the ashes [IRIDF mention] herring.com Top 10 Stocks for 1999 Red Herring Online February 5, 1999 Sometimes a stock has to blow up, literally, before it can offer a compelling buying opportunity for investors. This was definitely the case with Globalstar (GSTRF), a Loral-backed low-earth-orbit satellite telecommunications system that will have the capacity to transmit voice and data anywhere on the planet. Globalstar recently made the not-so-smart move of launching 12 of its proposed 32-satellite system on board a converted Soviet ballistic missile. When all 12 satellites showed up back at Loral's doorstep in itty-bitty charred pieces, costing Globalstar more than $180 million in insured hardware, the stock fell apart. But never underestimate the power of a learning experience, particularly when you have a CEO like Bernie Schwartz. Globalstar has since changed its strategy. It now launches only four satellites per rocket, and has traded in the used rockets for brand-spanking-new Pegasus launch vehicles. While the Motorola-backed Iridium project already has its birds in the air, there is a strong argument that Globalstar's system -- which is scheduled to be fully operation by September, and will ultimately have more than 50 satellites aloft, including four spares -- has better economics and broader market appeal. With Iridium phones costing $3,000 each, and the company targeting the narrower demographic of high-flying business people, Globalstar's focus of selling cheaper wholesale minutes to carriers implies that it can become the global wireless phone system for the masses. This is very much a development-stage company, however, and the risks are high. With losses every quarter over the past three years, and revenues at basically zero, Globalstar makes an Internet investment look safe. But when we evaluate the size of the market opportunity for satellite telecommunications, the quality of the management team led by Mr. Schwartz, and the leadership position the company will have when the system is finally up and running, we choose to forego an earnings history in favor of getting in on the ground floor of a stock that could hit the heavens. ALSO CONSIDER: WINSTAR COMMUNICATIONS While we're on the subject of risky investments, WinStar Communications, a competitive local exchange carrier (CLEC) targeting small and medium-size businesses, is another money-losing company in a hot space. With losses that leapt from $0.70 per share in 1995 to a projected $11.46 in 1998, WinStar is bleeding red ink. But with revenues also jumping, from $30 million in 1995 to $79.6 million in 1997 -- and likely higher for 1998 -- the company's business model is beginning to build some steam. A five-year deal with Lucent to help build out the rest of its system proves WinStar is keeping great company in its quest to become a leader in the wireless CLEC field. previous page return to intro next page Despite the recent rocket disaster, Christmas was merry for Globalstar. Globalstar is a repeat from last year's top 10 stocks, when WinStar also made the list. COPYRIGHT © 1998 RED HERRING COMMUNICATIONS. ALL RIGHTS RESERVED.