LightSquared Pays Inmarsat $56 Million to Resolve Default
Billionaire Phil Falcone’s wireless start-up, LightSquared Inc., made a $56.25 million payment to Inmarsat to resolve a default under their spectrum cooperation agreement, giving the troubled company more time to gain approval for a wireless service.
Earlier this month, Mr. Falcone said he was considering seeking bankruptcy protection for LightSquared, a venture that has consumed billions of dollars from his funds. Mr. Falcone began amassing spectrum — or rights to use the nation’s airwaves — last decade in an ambitious plan to build a nationwide, high-speed network from scratch. But the plan hit a roadblock when the U.S. military and others complained that the planned service would disrupt global positioning system equipment.
