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

To: Andmoreagain who wrote (4711)	5/19/1999 9:04:00 PM
From: Maurice Winn	Read Replies (3) \| Respond to of 29987

ICO and competition You are right Andmoreagain, I have changed my tune on ICO. They seem determined to go ahead. That means Globalstar is in trouble. ICO is doing a rights offer at $5 for a couple of hundred million shares. I suppose they'll get the money. If they do and launch, then, like Iridium, one way or another the minutes will be sold. ICO can produce minutes cheaper than Globalstar. Their model handsets look really good [better than Globalstar]. They will cover the whole world. So they'll sell them okay, even with a bit of voice delay and maybe not such good call quality and maybe more shadows, a high angle not necessarily a good thing [for access of signals into buildings for example]. Globalstar has got a better technological development pathway, but they have to get to that pathway by succeeding with the first constellation. That means an all out competitive use of the small lead time they have over ICO [if ICO does go ahead]. That means not sitting back saying "Oh, there are heaps of customers for everyone. 40 million is our forecast. Plenty for all." That will lead to big trouble. There are NOT heaps of customers for everyone. Globalstar should get ALL the customers they can. That means getting better, smaller handsets very quickly. It means designing the next constellation with BIG antennae so that handsets can be really small. No loading customers with the burden of a big handset so the satellites can be smaller. The minutes are so cheap to produce that quality and convenience are the most important aspects. Sure, Globalstar should be able to defeat ICO, but they won't do it by sitting back, fat dumb and happy. They have to actually be very, very active in getting the minutes sold and cheap is the key to that and the handsets in the right hands and FAST. Expensive is the key to that [combined with the right Service Provider plan]. 1.2bn minutes is not overcapacity. Trillions of minutes will sell at profitable prices, but the handsets and marketing has to happen. I'm still hopeful that ICO will at least have to 'wait and see' before they finally get operating. But I'm not betting on it. ICO sure is the competition which matters at the moment. Iridium is not an issue but it filled the AGM according to reports in this thread and ICO got barely a mention. Forget about Iridium which is now a non-issue [for Globalstar anyway]. Kill ICO! Cut off their air supply! Slash the minute prices NOW!!!! Maurice