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.

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

To: Maurice Winn who wrote (4809)	5/21/1999 1:50:00 AM
From: brian h	Read Replies (1) \| Respond to of 29987

Maurice, To sell 12bn minutes will take serious Feral Marketing. AirTouch goofing around, pretending they can sell heaps of minutes at $1.50 while ordering a couple of dozen handsets is not credible. As a shareholder, I'm not comfortable putting my trust in AirTouch which is not acting in accordance with their statements. Iridium put their trust in some airy-fairy idea that they'd be able to sell it all to the rich, stupid, business traveller. Well, the business traveller stayed home, wasn't rich, or wasn't stupid, or didn't want a brick-sized handset with short talk-times which don't work in buildings. Good points. However it is like asking Qualcomm to make 100 millions Thin phones in anticipation of good reception from customers. It is a risky practice to try. I do want to see G* and QCOM as a going concern for the next 10 years. Good to be conservative (Right? Tim A.) in the initial service time. There are too many variables to consider. Confidence will be built over time if everything go right. Q phone is a good example to bear in mind. ATI and other providers are doing their DD. Let us shareholders watch closely. Best, Brian H.

To: Maurice Winn who wrote (4809)	5/21/1999 2:21:00 AM
From: Maurice Winn	Respond to of 29987

Addendum to AirTouch and Globalstar <You may ask about the United States-- why would anyone pay $1.50/minute? I can tell you that AirTouch simply believes firmly that it can get that price, and has even suggested it could get a higher price if it chose. That view is as recent as today. Its outlook is it is going to offer a service where there are no dropped calls off the CDMA spectrum with a Qualcomm phone, and for that convenience, where there is no more "the person you are calling is outside the roaming area", the individual who needs dependability of phone coverage will be willing to pay.>. Mr Miethe, I gather from this that if today AirTouch had this view, then they will have placed a huge order for handsets with Qualcomm. I look forwards to the press release from Qualcomm. L M Ericsson will be supplying heaps to the GSM companies. This is turning into a VERY exciting two-horse race. Will L M Ericsson and Telital [GSM Service Providers] or Qualcomm [cdmaOne Service Providers] be the Globalstar champion? One will win! Qualcomm has done a very good job of ensuring competition and action in both terrestrial and space CDMA. If Vodafone/AirTouch is slack, I guess I'll still make heaps of profit from L M Ericsson, Telital and the GSM Service Providers, plus China Telecom and elsewhere. To stimulate some Feral Marketing, Globalstar should slash the minute price to Service Providers and get them scrambling for handsets. Globalstar needs to do this NOW to get them ordering handsets flat out, paying cash-up-front to ensure early delivery. Then Bernie wouldn't need to hassle Q! to produce handsets - they'd be going flat out already. Maurice

To: Maurice Winn who wrote (4809)	5/21/1999 2:05:00 PM
From: RMiethe	Read Replies (3) \| Respond to of 29987

I would certainly like to know where I can get the US cellular prices you quote. They range in charge from $.13/minute to $.89/minute today. It depends on how long you sign up, what kind of service you want, and the like. I do not get anywhere near the price you quote for my Air Touch service. And of course there is always the question of how good the call is. You cannot travel in Iowa, Idaho, or Arizona currently without getting dropped, or not having good access. Ask anyone in the States. And you cannot travel in some areas of southern California on the Pacific Coast Highway without getting dropped. In fact, you can travel from Century City L.A. through Santa Monica to Pacific Palisades and I will be dropped on calls that I make to New York, just as an example. I do agree with you on the AirTouch pricing. Can they get $1.50/minute in the US (By the way the prices quoted in the memo which you dispute sent to me are from the ITU-- I think they are correct therefore. As a follow-up, I called Network Vod in Granville and they did confirm the Australia quote stated in the memo-- I haven't called other providers). What you are saying in your well-reasoned essay is that Globalstar does not have the customers, which is why the service providers have not ordered millions of phones. If they had the customers, you seem to be saying, the phones should be rolling out on the assembly line. However, my understanding is that it was not till early this year that Qualcomm had finally worked out all the bugs in their Globalstar phone (which, by the way, I have ordered. I will be willing to pay the $1.50/satellite minute because of the annoyance of dropped calls. I am pretty much sick of them.) My understanding, getting back to the phones and why they are not rolling by the thousands off the assembly line, contrarily, is that the partners have not ordered phones because they first want to see if the system has total integrity. And when convinced by Qualcomm of this, they will. If that is not believed, if it is not true, then your comment that the regional telcos are not ordering the phones because there is no demand does become alarming. I could only conclude from the lack of ordering that Globalstar has no customers, in which case the stock should be sold and not owned. I do not see a middle ground between your assertion about the absence of large phone orders now and the statement I made that phones have not been ordered because of the delay in debugging and the assurances that telco providers want that the system works. I do not think one can have it both ways. Either my statement has grounds, or you are correct, and the stock should be sold. That is what I have to conclude from your well-reasoned comments.