"Today’s communications satellites demonstrate how an object can remain poised over a fixed spot on the Equator by matching its speed to the turning Earth, 22,300 miles (35,780 km) below. Now imagine a cable linking the satellite to the ground. Payloads could be hoisted up it by purely mechanical means, reaching orbit without any use of rocket power. The cost of launching payloads into orbit could be reduced to a tiny fraction of today’s costs.

"The space elevator was the central theme in my 1978 science-fiction novel The Fountains of Paradise (soon to be a Hollywood movie). When I wrote it, I considered it little more than a fascinating thought experiment. At that time, the only material from which it could be built — diamond — was not readily available in sufficient megaton quantities. This situation has now changed, with the discovery of the third form of carbon, C60, and its relatives, the Buckminsterfullerenes. If these can be mass-produced, building a space elevator would be a completely viable engineering proposition."

http://www.timesonline.co.uk/article/0,,1072-1794500,00.html