SatPhones — Why Can't They Make It Work?

RedEaredSlider writes "Satellite phones aren't as clunky as they once were, and technology has made them more powerful. Gone are the days when satellite phones had to be accompanied by a suitcase. Yet to date, the field is littered with bold attempts at a phone that could be used anywhere, without depending on earthbound cell phone networks. Billions have been invested, with relatively little to show for it. Part of the answer is debt. TerreStar is only the latest casualty of a crushing $1.2 billion debt load. The company introduced its Genus phone last month, but is in the middle of Chapter 11 proceedings. It's unclear that the phone will sell enough to help TerreStar stay in business, especially when it carries a $799 price tag."

Comments

Can't make a call from inside

[troylanes]

I've worked in the industry for the past 7 years or so -- most of the support calls that came in were related to the fact that the phone would not work indoors or in a car. People were really confused and often angry when you told them they need to be outside to make a call. This is small fact is one of the reasons, not to mention the cost, that satphone adoption has been stagnant.

Re:Can't make a call from inside

[fpp]

I second this. I also work in the industry and people generally don't know that not only do you have to be outside, but you have to have a clear line of sight to the sky and not be near obstructions like buildings. Also, the higher off the ground you are, or the higher the elevation, the better. Even in the best conditions, the call quality can vary as a satellite goes over the horizon and passes your call to another satellite. Also, satellite calls are very expensive, and the hand held units, although getting smaller (like the Iridium 9555 handset), are still bigger than a large cell phone.

Re:Can't make a call from inside

[MichaelSmith]

If you are in a car you just need to give the phone enough power to burn away the roof of the car so that it has a clear view of the sky.

It's not cost effective.

[OdoylesRule]

Sat phones are trying to solve a problem that doesn't really exist. Most folks are ok with terrestrial cellular service. If they need wireless comms outside that service area, it exists... it's just expensive. For something to be affordable it has to be mass consumed, and the masses just don't need it.

Re:It's not cost effective.

[edremy]

Not just that, but the infrastructure you need to build is just staggeringly expensive. Cell towers are bad enough, but at least they're on earth and can be easily built and repaired. To get full satellite coverage of the earth, you either need a whole pile of satellites in LEO (Iridium uses 66 with several spares) or a couple massive ones with amazing antennas in GEO. Iridium's satellites are considered amazingly cheap, and they still run over $5 million each according to Wikipedia- that's $350 million just for the satellite hardware, and launch costs are going to triple that. Tack on running and replacement costs, the costs to design both them and the phones....

I'm honestly amazed anyone bothers.

Just another way of saying

[jpmorgan]

Saying that the problem is 'debt' is just another way of saying that the value of the service over traditional cell networks isn't enough to outweigh the enormous initial investment required.

Which makes sense. Satellites are enormously expensive and only a handful of people really get any benefit over a normal cell phone. For those who do find a benefit, there are more cost-effective ways of dealing with communication than launching dedicated satellites into orbit.

Re:Do they still use geostationary satellites?

[Wyatt Earp]

Iridium satellites are at 475 miles, not geo sync