Globalstar Acquires Venezuelan Gateway
March 7, 2005 Globalstar de Venezuela C.A. signed an agreement with TE.SA.M de Venezuela to acquire the Globalstar ground station and service operations located in Venezuela. Globalstar de Venezuela which is a subsidiary of Globalstar LLC assumed the management of the Globalstar Venezuela business after the non-regulated asset transfer. Upon approval of the Venezuelan Telecommunications Regulatory Commission, CONATEL a second closing will be completed. The transferring of the assets to Globalstar de Venezuela will include the satellite ground station and other regulated assets.Tony Navarra, president of Globalstar LLC said this is part of our commitment to improve and expand service for the region which would include U.S. International roaming customers. Globalstar LLC is also committed to improve service to domestic Venezuelan customers. After acquiring the Globalstar Venezuelan business Globalstar LLC will use its expertise to improve and enhance the capabilities of the Venezuela gateway. Globalstar LLC has the ability to expand its capabilities and create a foundation for new International services and products.
This arrangement will allow the realignment of the other Globalstar gateways in that region of the world to work together with the Venezuelan gateway to establish a Pan South American service. Globalstar’s goal is to reduce the roaming cost for International customers and improve the southern Caribbean coverage.
There is strong demand in the Venezuelan gateway region for both voice and data service from both marine and rural satellite phone service. Globalstar LLC is commitment to establish improved service which will create additional customers in this region.
Globalstar’s additional goals are to buy back other gateways which could include Mexico. Though the acquisition of other gateways like the Venezuelan gateway Globalstar LLC would again use its expertise to improve and enhance the capabilities of each gateway it is able to acquire. This would establish a more reliable and solid coverage for both International roamers and the domestic customers in the region of the gateway. The realignment and technical improvements of the gateways Globalstar acquires will eventually create a seamless service for customers roaming on other gateways.
Globalstar has established a new gateway in south Florida which will improve service in the Bahamas and the northeastern Caribbean. This gateway is currently being tested and should be on-line in the summer of 2005. There are plans for another gateway to be built in Canada which would greatly improve service in Alaska in the future.
Globalstar is GlobalCom’s flagship product and is the world’s most widely used handheld satellite phone. Globalstar provides coverage in over 120 countries. For more information go to our Globlcom home.
