LightSquared followed through with weekend rumors by filing for Chapter 11 bankruptcy protection this afternoon, noting the move will give it “breathing room” to work through current regulatory challenges that prevent it from gaining access to its spectrum assets.
The company stated that despite the filing it expects to continue normal operations, including support of its satellite-based offering that serves public safety, emergency response, government and military users.
Despite recent upheaval amongst its leadership, the company said it expects its current management lineup will remain intact during the bankruptcy proceedings. Reports had indicated that current financial backer, Philip Falcone, has also been asked to step aside. Falcone’s Harbinger Capital Partners has been the largest financial backer of LightSquared’s attempt to build out a nationwide LTE network, which management had noted could require up to $14 billion in funding through the end of the decade.
via LightSquared files for Chapter 11 bankruptcy protection | | Mobile Technology | Wireless Broadband | Wireless Carriers | RCR U.S. Wireless NewsMobile Technology | Wireless Broadband | Wireless Carriers | RCR U.S. Wireless News.