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To: djane who wrote (3252)	3/4/1999 3:16:00 AM
From: djane	Respond to of 29987

ICO Global Says Cost May Delay Worldwide Brand (Update1) (Updates with closing share price in last paragraph.) quote.bloomberg.com ersion=marketslong99.cfg New York, March 3 (Bloomberg) -- ICO Global Communications Ltd., which plans to be the third company to offer a worldwide satellite-based phone network, said it's leaning against creating a global brand like competitor Iridium LLC because it's too costly to market. ICO eventually wants to have a global brand, though not from the start, Chief Executive Olof Lundberg said at the Fourth Annual Bloomberg Telecom Day in New York. Dual branding, under which ICO might team with another telecommunications provider, is a possibility, he said. Iridium last year began a $140 million advertising campaign for its satellite phones. ''The cost of launching a global brand from day one is very, very high,'' Lundberg said. ''Many of the distributors and service providers we have are not going to yield their brand to our brand at any rate.'' London-based ICO plans to be the third company, after Iridium and Globalstar Telecommunications Ltd., to launch satellites to provide global coverage for phone, fax and other communications services. Its initial public offering in July raised $120 million. The company needs additional financing before it can begin commercial service in August 2000, Lundberg told the Bloomberg forum. He said the company is looking at the equity market, high- yield market and private placements and he's optimistic that ICO will secure the funding. One of the company's biggest challenges is making U.S. investor more aware of it, Lundberg said. ''Particularly to U.S. investors, ICO is an enigma,'' he said. Lundberg added that ICO has relatively few shares outstanding and it intends to gradually increase that figure. It had 218.5 million shares outstanding as of July. ICO shares fell 9/16 to 9 1/2.

To: djane who wrote (3252)	3/4/1999 3:20:00 AM
From: djane	Read Replies (3) \| Respond to of 29987

Star wars come to Beirut (via I* thread) dailystar.com.lb:80/business/b020399d.htm Kirsten Vance Daily Star staff The technological revolution has not slowed since the invention of the microchip, continuing to move into new territory. The Arabcom '99 exhibition in Beirut brought a taste of where the next battles will be in orbit, thousands of kilometers overhead. Companies tore a page right out of NASA with their reels of film showing the launching of new satellites. From the Internet to mobile phones, television and video, satellites are advancing and bringing a convergence of the various modes of communication. Today about 14 percent of the earth's surface is covered by cellular phone services, and by 2000 that figure will jump to 20 percent. The rest of the Earth can only be reached by satellite. The average city dweller may never require more than a regular cell phone. But companies providing mobile phones which operate either as a cellular or satellite phone will target those who travel frequently or find themselves in remote parts of the world. The first off the block, Iridium Middle East, launched its satellite services in November last year. Part of the Iridium holding company, which is based in Washington and listed on the Nasdaq, the regional company is owned by Saudi Binladen Group and Mawarid Group. A network of 66 low Earth orbit satellites (LEOS) and 12 gateway stations, the worldwide project has cost $7 billion to establish. Iridium Middle East is currently operational in five of 21 countries. The company is in talks with Lebanon's Ministry of Post and Telecommunications to get an one-band license and will then negotiate with the local service providers. The firm hopes to start services in Lebanon in April or May. As with most new technologies, satellite phone services will not come cheaply. Iridium handsets will cost about $3,500, while calls will cost between $2 and $10 a minute depending on the country and the type of call. “We don't pretend to target the 500 million cellphone users,” said Johan Raath, the executive vice president of marketing for Iridium ME. “The top 2 to 5 percent will probably be right in our target market.” But as the star wars heat up so will the price wars. And eventually satellite phone services are expected to become just another option for cellphone subscribers, like voice mail or call-forwarding are today. “Satellites are the thing of the future,” said Emil Samarah, the marketing manager of Thuraya satellite telecommunications company. A regional company based in the U.A.E., Thuraya promises to enter the fray with affordable prices. Its services will cover 99 countries in Europe, Africa, the Middle East, the former Soviet Union and Asia. With an investment of $1 billion and an initial capacity of 1.8 million subscribers, the firm plans to be operational by September next year. Mobile phones are moving beyond just voice communications. Data transfer over mobile phones will move beyond sending and receiving messages, and in about a year Internet access will be available, predicted Jan Embro, president of Ericsson Lebanon. “The big thing will be broad-band,” he said. “The future will bring a convergence of voice, data and video.” That will bring TV, radio, Internet and video to one apparatus, be it the TV set, computer or even cellphone. DS: 02/03/99 Copyright© 1999 The Daily Star. All rights reserved.