Nokia Siemens Stopped Work on LightSquared Network Last Year

Nokia Siemens Networks, the joint venture between Nokia Oyj (NOK1V) and Siemens AG (SIE), said it stopped work in 2011 on the U.S. wireless network for LightSquared Inc. (SKYT)

“While we have a contract with LightSquared, they previously asked us to put our activities related to the network build on hold while they resolve” issues concerning Global Positioning System technology, Ben Roome, a spokesman, said by e-mail. LightSquared originally planned to spend $7 billion over eight years on the network to set up a national carrier competing against AT&T Inc. (T) and Verizon Wireless, it said in July 2010.

The U.S. Federal Communications Commission said last month it would block LightSquared’s planned network because of potential disruption to navigation gear. The company said after the decision that it was committed to finding a solution to the concerns. Sprint Nextel Corp. (S) plans to end a network-sharing agreement with LightSquared that would have helped the venture with expansion costs, two people familiar with the plan said.

To contact the reporter on this story: Diana ben-Aaron in Helsinki at dbenaaron1@bloomberg.net

To contact the editor responsible for this story: Kenneth Wong at kwong11@bloomberg.net

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