Abstract
INTELSAT is a cooperative of 140 government-appointed signatory organizations that lease capacity from a jointly owned satellite fleet for international telecommunications. It is now the object of a major restructuring effort. This article considers the economic issues involved in this redesign, including network economies, public good services, economic development, competition, vertical power, rate averaging, marketing inefficiencies, and administrative issues. Besides detailing the economics of an important global provider, the article attempts to introduce the history and technology of international satellite telephony to the professional economist and to suggest an agenda for future research.
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