Iridium creditors to sue Motorola for $2bn

NEWS Former Iridium investors and shareholders are accusing the mobile phone manufacturer of maintaining control over the subsidiary even after its flotation on the stock exchange. They claim money invested in satellite telephony was diverted into Motorola and the angered investors are now demanding it be paid back immediately - an action that is likely to cost Motorola up to $2bn. Motorola formed Iridium nine years ago. In 1997, the first satellites for worldwide network provision for mobile phones were launched. Two years later, Iridium closed its doors due to lack of interest from customers. In October 2000 Iridium found a new investor. From http://www.silicon.de