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594 WIRELESS NETWORKING: EMPHASIS ON MOBILITY<br />

just as your cell phone keeps in touch with the cellular network when it powers - up.<br />

Presto, you ’ re connected, and the quality resembles that of an analog AMPS network,<br />

which is pretty good for a satellite call.<br />

Propagation delay is not much of an issue for several reasons. First, the satellites<br />

are in low - earth orbits of approximately 485 miles, so the uplink and downlink<br />

propagation delays are not signifi cant. Second, the satellites communicate directly<br />

over switched intersatellite links, so only one uplink and one downlink are required.<br />

As the satellites whiz around the earth like electrons whiz around the nucleus of an<br />

atom, however, they have a very short dwell time , so you cannot maintain contact<br />

with any given satellite for very long, and neither can the other party involved in<br />

this telephone call. Therefore, the satellite with which you established the connection<br />

must pass that call off to another satellite before it gets out of view, and so must<br />

the satellite at the terminating end, and so must every satellite in between. Think<br />

of it as a switched cellular network in reverse. In a cellular network, the antennas<br />

at the cell sites are stationary. As you whiz through the cellular network in your<br />

high - speed vehicle, the cellular network maintains the connection through a hand -<br />

off process between cell sites. In an Iridium environment, you are the one who is<br />

(relatively) stationary, while the cell sites whiz around you. Iridium also, by the way,<br />

supports pagers and airplane communications via the same L - band frequencies. If<br />

you call a device that is not on the Iridium network, your call can be connected to<br />

the existing PSTN and cellular networks via 12 regional gateways.<br />

Iridium is an incredible network, and it should be, as the total capital investment<br />

was in the neighborhood of $ 4.7 billion. The system went fully operational on<br />

November 1, 1998. On May 28, 1999, Iridium LLC received a waiver until June 30<br />

of certain fi nancial covenants from all its lenders to enable it to restructure its capitalization.<br />

Those covenants required that the company have at least 27,000 customers<br />

by May 31. It seems as though the actual numbers fell far short of that requirement.<br />

At a cost of $ 3000 or so for an Iridium phone, $ 3795 for a dual - mode phone that<br />

also works on existing cellular networks, $ 500 or so for a pager (one - way, so no<br />

guaranteed message delivery), some modest amount of money for a cable and data<br />

modem, a considerable monthly charge, and $ 3 – $ 7 a minute for the connect time<br />

(depending on which press releases and articles you believe), Iridium was pretty<br />

pricey. Most commercial users just could not justify the cost unless they wanted to<br />

call between very remote areas such as the summit of Mt. Everest (true story) to<br />

the jungles of New Guinea (it is possible if the canopy of the rain forest is not too<br />

thick) [57 – 67] . Iridium ’ s high cost and relatively poor service did not sit well with<br />

prospective users, who failed to appear in numbers even close to those required to<br />

make the network fi nancially viable. Iridium fi led for Chapter 11 bankruptcy in<br />

August 1999 and ceased service in April 2000. At that point, the plan was to let the<br />

satellites naturally degrade in their orbits until they simply burned up in the atmosphere<br />

in a spectacular Iridium fl amb é (at least that ’ s the way I like to think of it).<br />

Rather than let Iridium fl ame out, however, a group of investors purchased the<br />

network for a paltry $ 25 million. Shortly thereafter, in what can only be termed an<br />

interesting coincidence, the U.S. Department of Defense agreed to a $ 72 million,<br />

two - year contract to provide service to 20,000 government users. Other users can<br />

subscribe to Iridium services through one of the 19 or so authorized service partners<br />

in various countries around the world. Costs for airtime have dropped to a range<br />

of $ 1.40 – $ 3.00 per minute, and costs for handsets have dropped to $ 1500 or less.

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