LightSquared Chief Executive Officer Sanjiv Ahuja has resigned, the company announced Tuesday.
The news comes two weeks after the Federal Communications Commission rejected plans by the wireless broadband firm to build a 4G network on spectrum adjacent to Global Positioning System signals. Tests by the National Telecommunications and Information Administration (NTIA) and others warned of the harm LightSquared’s proposed network would pose to GPS services critical for first responders, the airline industry and others.
“During my tenure at LightSquared, we all worked tirelessly to create the nation’s first open wireless broadband network and provide consumers with a new wireless broadband experience,” Ahuja said in a statement. “That work continues and I wish the company and its fine management team well as they work to achieve this important goal.”
Ahuja will continue serving as chairman of the board. Doug Smith, chief network officer, and Marc Montagner, chief financial officer, will serve as interim co-chief operating officers, “while the company completes the search for the new CEO,” according to a news release.
Philip Falcone, CEO and chief information officer of hedge fund Harbinger Capital Partners, was appointed to the company’s board of directors. Falcone has invested about $3 billion in the LightSquared project and said the company will take an “aggressive approach” to ensure there is enough finances to work through its issues.
Falcone said LightSquared will continue its vision to provide a 4G wireless alternative by working with national security, aviation and the GPS communities