Globalstar Telecommunications Limited GSAT Message Board

To: pcstel who wrote (28645)	6/24/2012 5:03:38 AM
From: Maurice Winn	1 Recommendation of 29069

Stink cheap 24c per share, nearly at your price. All momentum seems to be lost. Looks as though you'll get your fill. I'm staying away. I have enough shares until they forget about arpu, officially post on their website that they have abandoned arpu as a philosophy and have brought in plans so people can buy megabyte credits which don't expire for 2 years from when they buy them. Minimum $5 credit, maximum $100. Megabytes at 0.1c plus termination charges seems about right for a nearly empty system [$1 per gigabyte]. Make money selling the razors and printers, not the razor blades, or ink. Somebody in Globalstar has perhaps been to marketing school and that set them off on the idea of copying the consumables idea. Once they have that idea stuck in their heads, it's probably hard for them to shift. "Give away the handset and charge heaps for the minutes/megabytes" seems to be the way the telecoms people think and that idea does fool a lot of people who see the latest gadget at $0 and "only" $50 a month for a 2 year contract. The "Free Phone" could be another plan: "Free Globalstar phone. Only $50 a month for a two year contract. 10 gigabytes included". But maybe merely getting satellites into the sky is the issue, never mind how to sell the service. At 24c there is obviously plenty at issue. Mqurice