Globalstar’s [GSTRF] quest for customers, at least in the United States, could become a more difficult task, due to a new dual-mode phone released by Motorola [MOT] and offered by Nextel Communications [NXTL].

The i2000T digital world phone offers global travellers iDEN coverage in North and South America and GSM coverage around the world. iDEN is a specialised mobile radio service that is the bread and butter of Nextel’s domestic wireless service. GSM is the wireless air interface standard adopted worldwide.

For the global roamer travelling to major populated areas around the world, the i2000T should meet their communications needs. And its ability to serve as the user’s standard domestic wireless phone could make it an appealing proposition for world travellers.

And while its global roaming prices are nothing to brag about (99 cents per minute in Western Europe, $1.99 in Asia, South America and the Middle East and $2.99 to $4.99 in Africa, Eastern Europe and Southeast Asia) the handset cost is – the i2000T is retailing for only $249, more than $1,000 less than a GlobalStar satellite phone.

But this new service does not have Globalstar worried. “All this is doing is tying together existing cellular markets,” said Mac Jeffery, spokesman for Globalstar. “It is positive for the cellular world, but we operate outside the cellular world and (this service announcement) will not significantly impact our business at all.”