Iridium bankruptcy is settled; the nine-year saga is over

After nine long years of discussions and demands, the Iridium bankruptcy saga has finally ended. Yesterday a bankruptcy court judge approved a settlement in which Motorola will not have to pay any out-of-pocket costs to unsecured creditors who had sought more than $4 billion in total damages.

Creditors blamed Motorola for the failure of the Iridium satellite venture, which promised to deliver satellite telephony to subscribers worldwide using a constellation of satellites.  Iridium still exists but now uses the moniker Iridium Satellite LLC. The privately held firm bought the assets of the original Iridium for $25 million from Motorola in December 2000.

For more:
- see this press release
- see this TelecomWeb article

 

Related stories:
Iridium's new business model. See this Iridium story.
Iridium still weighs on Motorola. Read this Iridium article.