News | May 26, 2000

Globalstar Launches Commercial Service in China

Source: Globalstar USA
Mobile satellite provider Globalstar USA (New York) has begun commercial service in China.

China Spacecom, the carrier's service provider partner in the country, is initially providing mobile and fixed phone service, including voice, voice mail, and short messaging services throughout the northern half of China from its gateway in Beijing. Two additional gateways, to be built in Guangzhou and Lanzhou, will provide coverage across the entire nation when they are completed early next year. The carrier also plans to offer fax, Internet connectivity, and other services over the next several months.

The multi-mode telephones are capable of operating in analog, GSM, terrestrial CDMA, and satellite modes. In areas with cellular service, the phones operate in cellular mode at normal cellular prices. Outside of cellular range, users can still stay in touch over Globalstar's satellite network, which uses a Qualcomm CDMA signal.

Car kits and marine kits also will be available soon to serve customers across markets such as maritime, oil and gas, exploration, construction, search and rescue operations, agriculture, and transportation.

China Spacecom will also be offering Globalstar fixed phones, including pay phone models, which can provide telephone services to offices, government installations, and entire communities in remote areas where even hardwire telephony is limited or simply unavailable. Currently, China's telephone penetration rate is less than 10% for both mobile and fixed-line service. The country's inland and rural areas have particularly limited access to telephones, and it is estimated that 500,000 rural communities require improved telecommunications services.

In anticipation of the demand for this new service, China Spacecom has already doubled its original order of phones to 10,000 units, even before initiation of service, and is offering various promotional packages including telephone leasing and prepaid plans, as well as free trade-in programs for Iridium customers.

China is the most recent addition to Globalstar's worldwide network, which currently offers commercial service in 38 countries across six continents, served by 16 gateways. The company plans to increase this to nearly 60 countries by June 2000.

Edited by Ellen Jensen