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Iridium satellite phone case study

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Iridium has a constellation consisting of 66 low-earth orbiting LEO satellites plus 9 in-orbit spares , cross-linked to operate as a fully meshed network. Several overlapping satellites ensure coverage over the entire globe. Extend the antenna into its full position and point it straight up at the sky. Press the power button on the phone.
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Iridium Global Strategy

Imagine, moreover, that money is no object. Serving such exotic communication needs with no thought to cost was the fatal rationale behind Iridium, the pounds 3bn satellite-based mobile phone network, which filed for US bankruptcy protection on Friday. Behind the failure lies a salutary tale that shows how a potentially revolutionary product was hamstrung by unrealistic planning, insufficient management control, bungled marketing and, most surprisingly, technological pigheadedness. Iridium began as a pet project of Motorola executive Barry Bertinger and some engineers in the mids after the former's wife famously complained of not being able to phone the US while on holiday in the Caribbean. In Motorola's can-do engineering culture there was considerable attraction to the technological challenge involved in setting up Iridium's constellation of 66 satellites that would ring the world, allowing, in theory, phone calls to be transmitted and received from the furthest corners of the earth.
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LEARNING FROM CORPORATE MISTAKES: THE RISE AND FALL OF IRIDIUM

We use cookies to give you the best experience possible. It is obvious that projections made by the company and endorsed by the most prestigious banks on Wall Street were comical leading to massive losses for banks, debt investors and equity investors. It is also clear that the company made some mistakes in marketing such as not having sufficient phones available after a major advertising campaign. The questions I would like you to address in this case are what was underneath the crazy assumptions and financial projections made by these highly respected financial institutions and how could the banks and other institutions made the loans. Step 1: Skim over the Case Write-ups.
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Please join StudyMode to read the full document. Inner-City Paint Corporation employs 35 workers, of whom 25 are part-time employees. His mother, Mrs.
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