Globalstar, Inc. (NYSEMKT: GSAT) operates a network of in-orbit satellites and active ground stations called “gateways.” As you might expect, these assets give GSAT significant barriers to entry, which is always attractive to potential investors. However, GSAT’s main problem is that operating its satellite network involves exceptionally high levels of capital expenditures. As a result, the company has so far been massively unprofitable, and as of 2018, it registered $3.83 billion in accumulated losses. Furthermore, its market doesn’t seem to be able to sustain profitable satellite service operations yet due to its small size.