Sprint Extends LightSquared Deadline

Sprint Nextel(S) says it's giving LightSquared more time to get government approval to operate its network, according to a published media report.

The report, published on The Wall Street Journal's Web site, said Sprint extended a 30-day extension to a Dec. 31 deadline for getting Federal Communications Commission approval.

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LightSquared, which is backed by billionaire Philip Falcone's Harbinger Capital Partners hedge fund, is building a fourth-generation LTE network that relies on earth-based transmitters and satellites. Last year, it signed an agreement with Sprint Nextel under which Sprint will help build the network. In return, Sprint would have priority in using the network.But LightSquared has run into opposition to its network from the GPS industry, airlines and federal officials. Government tests and analysis have shown LightSquared's transmitters interfere with GPS devices and flight safety systems used by commercial airlines.LightSquared has proposed mitigation plans, such as using only a part of its bandwidth.Shares of Sprint Nextel closed Friday down 3 cents at $2.34.

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