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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT -- Ignore unavailable to you. Want to Upgrade?

To: djane who wrote (4321)	4/30/1999 6:15:00 AM
From: Maurice Winn	Respond to of 29987

Ellipso and ICO should both cancel or go slowly on their systems until they understand market demand. Ellipso wants to launch $2.4bn into space on board 17 satellites. Like ICO and Iridium, they won't return enough money to their shareholders. Globalstar is stuck with about 12 billion minutes to sell. Iridium has to sell 1.5 billion. If Globalstar easily sells them, it might be worth Ellipso and ICO competing, but that is far from a certain bet. Any surplus will be sold like tomatoes, which means as cheap as it takes to move them off the auction floor before they go rotten. If ICO and Ellipso go ahead with their systems, the price to clear the market is going to be VERY low. Even Globalstar shareholders will be thinking they bought a bit of a lemon, though at 15c a minute [wholesale price], Globalstar should sell them and make a bit of money. But at 15c a minute for Iridium it is goodbye shareholders. Same for ICO and Ellipso I suppose [for the reasons covered lately]. Meanwhile Iridium is doing a lot of huffing and puffing and talking stupid jargon about hiring customer led bosses and stuff like that. They'll be trotting out all the market segmentation, target sectors, price points, product differentiation, etc, etc ad nauseum. Translated into common parlance, Iridium is going to restructure and cut their price per minute. All the BS in the world won't turn a lemon into an orange, a sow's ear into a silk purse or the Emperor's New Clothes into a respectable birthday suit. Maurice