LightSquared, With Zombielike Persistence, May Try to Overturn FCC Ruling
NEWS ANALYSIS: Billionaire investor Philip Falcone has hired high-profile Washington, D.C., lawyers in a last-gasp effort to build LightSquared's network. The question is whether they will try to overturn the FCC's ruling.In a legal Hail Mary that seems unlikely to produce positive results, Philip Falcone, the billionaire investor behind the LightSquared broadband data service, has hired two of Washington's highest profile lawyers to try to overturn the Federal Communications Commission's decision not to let the company operate its network. The FCC withdrew approval after a series of tests by the National Telecommunications and Information Administration (NTIA) and the military showed conclusively that the LightSquared data network would effectively kill GPS use in the United States.
Meanwhile, LightSquared continues to suffer losses of all types. Sprint Nextel has now withdrawn its agreement to provide tower space for LightSquared's transmitters and antennas, which leaves the company without physical infrastructure. Leap Wireless, the company that sells the Cricket brand of wireless phones and devices, has now dropped LightSquared and signed on with Clearwire for Long-Term Evolution (LTE) services. Clearwire is majority-owned by Sprint Nextel.