LightSquared said in a statement that it entered bankruptcy to give it time to “resolve the regulatory issues that have prevented it” from building the network, adding that it also filed recognition in Canada.
In February, the Federal Communications Commission withdrew preliminary approval after tests indicated the network interfered with GPS devices.
The House Science Committee heard testimony from concerned agencies and industry groups in September and some cited potential harmful effects on many services such as hurricane tracking and building flood defenses.
A group of companies wrote to the FCC in November asking the agency to restrict LightSquared from using the upper band of its spectrum, located close to the same frequencies used by GPS.
PCWorld reported that tests showed strong interference in the upper 10 megahertz band of LightSquared’s frequencies.