Feeds

Iridium wins $20m investment

To tide it over to Craig McCaw saves it, presumably...

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

Troubled satellite telecomms company Iridium found itself the recipient of a cheque for $20 million on Friday courtesy of Motorola and a bunch of the company's other investors. Of course, that's a tiny drop compared to Iridium's ocean of debt - $4bn and counting - so it's clearly funding intended to keep the company going while its management seeks support from investors for a financial restructure.

Keeping Iridium alive is a priority for Motorola. Quite apart from its commitment to backing up the telecomms company's debt, Motorola provides cellphones for the satellite service, it has second-generation Iridium phones in the works which will hopefully be somewhat cheaper and lighter than existing models.

Due at the end of the year, they could help persuade more customers to buy into the Iridium service -- though the company's financial health acts a pretty significant counter to that. Iridium's bosses have been trying to persuade the company's institutional investors to support its restructure plans for the last six months or so - with little sign of success.

Even Motorola's threat to pull out if investors didn't come together to support the ailing satellite venture doesn't seem to have helped matters.

Meanwhile, telecoms entrepreneur Craig McCaw, who has successfully worked his way onto the board of Iridium's chief rival, ICO Global Communications, through a major investment in that company, is in talks with Iridium to do the same, possibly with a view to pulling it and ICO into his other venture, satellite-based broadband networking operation Teledesic. ®

Related stories

Nasdaq de-lists Iridium
Iridium to enter Chapter 11
Court approves latest stage of McCaw's ICO 'rescue'
Teledesic's McCaw to bail out ICO
Iridium rival ICO plans Teledesic makeover

Internet Security Threat Report 2014

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
DOUBLE BONK: Testy fanbois catch Apple Pay picking pockets
Users wail as tapcash transactions are duplicated
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
In the next four weeks, 100 people will decide the future of the web
While America tucks into Thanksgiving turkey, the world will be taking over the net
prev story

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.