LightSquared files for Chapter 11 bankruptcyAlex Wagner - Deputy Managing Editor, News Desk
The past several months have been pretty tough on LightSquared, as the company had its application to build an LTE network shot down by the FCC over GPS interference concerns and then saw its LTE deal with Sprint get killed. Today the LightSquared saga has hit another low note, as Bloomberg is reporting that the company has filed for Chapter 11 bankruptcy. The filing lists LightSquared as having over $1 billion in both debts and assets. The company is said to have received a couple of extensions from creditors to attempt to avoid this situation, but ultimately it looks like LightSquared had to file with the U.S. Bankruptcy Court in Manhattan.
This news isn't a total surprise given how many roadblocks LightSquared has hit in its efforts to get its LTE network up and running. Exactly where LightSquared goes from here remains to be seen, but like the rest of the saga that's already unfolded, it'll definitely be interesting to see what happens. Stay tuned.