Falcone’s LightSquared Presses FCC Over Network

Phil Falcone’s Harbinger Capital is the primary shareholder in communications company LightSquared, owning all but a sliver of the company. LightSquared’s claim to fame is that it has the technology to build a nationwide 4g network. By accessing satellites, the company can eliminate dead spots across the country and provide mobile data access anywhere in the continental 48. The problem is that government officials are saying that LightSquared’s technology interferes with the nation’s defense and navigation systems.To access this risk, there has been a series of tests done. Recently, someone leaked test results that showed that “LightSquared’s high-speed wireless services caused ‘harmful interference‘ on 75 percent of receivers tested.” HARBINGER

The test was government-sponsored.

Falcone has been met with more than a little resistance on Capitol Hill. Senator Charles Grassley (R-Iowa) has alleged that Falcone used donations to smooth the regulatory way for the communications start-up and Senator Pat Roberts (R-Kansas) introduced a bill that would raise the regulatory bar for the company to gain approval for its 4g network. To help gain support in Washington, Falcone has spent millions on lobbying for LightSquared and, now, LightSquared could be running out of cash. According to the company’s financial statement, that day could come as soon as the second quarter of 2012.

In other words, LightSquared is in a pinch. And, to make matters more pressing, it is “facing a year-end deadline with partner Sprint Nextel Corp.,” reports the Wall Street Journal. As such, LightSquared “pressed federal officials Tuesday to rule against critics who say the company’s proposed national wireless-Internet network will interfere with global-positioning systems.” LightSquared filed a document that “said the Federal Communications Commission should find that it has no obligation to pay for a fix for the GPS interference and that its opponents can no longer stand in the way of the company’s commercial launch, slated for next year.”

The LightSquared filing comes less than two weeks before Sprint’s deadline requiring that LightSquared receive FCC clearance to operate its proposed nationwide 4g network. The clearance is a condition of a 15-year fourth-generation-spectrum and equipment-sharing agreement, an agreement that would help LightSquared save roughly $13 billion through the end of this decade.
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!