Re: Inmarsat iSatphone
Posted: Sat Jun 11, 2011 2:44 pm
there's a threshold where I'd always buy a sat phone over any other device, and that's maybe at $300 for the device and $10 a month or less. That is more than the Spot, but low enough that they could sell thousands each year to types like us. Now, the network load would not be high, so I can't see why they would not want to get into that volume market? It's not like Inmarsat is selling cell phones. Their only real appeal is that their stuff works where cell phones don't, so they always will have to aim at that niche user group who cares about that capability.
I think to increase their user sat phone user base, they really only have two options - outperform the other platform technically, so those who are paying $50 a month or more per phone will switch for that extra whatever feature or reception quality they get, or they go for the unwashed masses and make it cheap enough to get 6 of those for $10/month and grow the user base that way.
There may be some fears that we will eventually overload their system with our calls from Lyell Canyon to grandma, but that's where the minute pricing will always put a cap on it, I think. Do they have limited phone numbers to give out?
I think they just don't have the distribution channels to really go for the masses, and the risk that it will flop when they do put one of these things into an REI may be too high for the investors. On the other hand, I guess they are just used to dealing with corporate clients and don't have a real game plan to push into the unknown consumer market. Just look at the Terrestar thing - they never even tried to sell that to individuals, even though they had ATT on board. Perhaps they already know it was a dud, who knows.
But what do I know. I'm just a consumer looking at paying another year of Spot ($99/year), or dropping $600 on a phone, $180 a year on a subscription, plus $1.25 a minute?
I really need to buy a mounain bike for my daughter right now, and the more I look at this, I think I can wait another year and see what happens. If they can do a prepaid plan in the US, I may go for it. When I go on my winter JMT (April 2013 probably) I will need one of these things, though, but a lot can happen in those 20 months.
I think to increase their user sat phone user base, they really only have two options - outperform the other platform technically, so those who are paying $50 a month or more per phone will switch for that extra whatever feature or reception quality they get, or they go for the unwashed masses and make it cheap enough to get 6 of those for $10/month and grow the user base that way.
There may be some fears that we will eventually overload their system with our calls from Lyell Canyon to grandma, but that's where the minute pricing will always put a cap on it, I think. Do they have limited phone numbers to give out?
I think they just don't have the distribution channels to really go for the masses, and the risk that it will flop when they do put one of these things into an REI may be too high for the investors. On the other hand, I guess they are just used to dealing with corporate clients and don't have a real game plan to push into the unknown consumer market. Just look at the Terrestar thing - they never even tried to sell that to individuals, even though they had ATT on board. Perhaps they already know it was a dud, who knows.
But what do I know. I'm just a consumer looking at paying another year of Spot ($99/year), or dropping $600 on a phone, $180 a year on a subscription, plus $1.25 a minute?
I really need to buy a mounain bike for my daughter right now, and the more I look at this, I think I can wait another year and see what happens. If they can do a prepaid plan in the US, I may go for it. When I go on my winter JMT (April 2013 probably) I will need one of these things, though, but a lot can happen in those 20 months.