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

To: Ed Schultz who wrote (1340)	2/15/1999 12:31:00 PM
From: haler	Respond to of 2693

Ed- You're probably correct, "GREAT marketing". It's just that with the delay in getting the handsets out, it would seem they would want to get them out to those subscribers that are lined up and waiting to get their IRIDUM handsets but couldn't due to the slow rollout. Anything else indicates they're not lining up for the handset. The fact that they still are giving service away MIGHT indicate less demand then expected at this point. They need the revenues too.

To: Ed Schultz who wrote (1340)	2/15/1999 12:35:00 PM
From: Sawtooth	Respond to of 2693

<<This is no different than when a Supermarket opens in your area and they are basically giving things away at dirt cheap prices to get you hooked on their store. Or AOL and MSN giving away one months free service, etc. The idea is to get you hooked on the service, and then charge you for it. Personally, I think this is a GREAT marketing idea!>> Interesting that what is actually an old marketing strategy (re:supermarkets/loss leaders) is the fundamental strategy of many of the new internet stocks; one example - Amazon.com. Sell the product at or below cost to build up the customer numbers, then when you've got 'em all hooked roll out the higher margin collateral revenue streams. And the internet companies talk about a new business model. ; )