SoftBank is Letting Internet Satellite Company OneWeb File For Bankruptcy

SoftBank has decided to let satellite internet provider OneWeb file for bankruptcy rather than pump billions of dollars into the start-up to save it. From a report: SoftBank, which has already invested $2 billion into OneWeb, was in talks to provide more capital to the satellite operator but ultimately backed down after making the decision it needs to save capital instead of spending more, said people familiar with the matter, who asked not to be named because the discussions were private.

OneWeb was in the early stages of launching its own global satellite internet constellation, which would have competed directly with the network SpaceX is building called Starlink. While SoftBank is its largest investor, OneWeb had raised about $3.4 billion in funding with investors including Qualcomm, Airbus, Virgin Group, Coca-Cola, Maxar Technologies, Hughes Communications and Intelsat. All 74 of the satellites OneWeb put in orbit so far are operating as expected. CEO Adrian Steckel told CNBC in a February interview that the company “is always raising” money.

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Source: Slashdot