Amp’d Mobile’s Settlement With Verizon Wireless Approved

0 Comments

Some more reprieve for Amp’d, though judging by the comments on our posts here and here, there are some angry customers: anyway, the Delaware bankruptcy judge said Amp’d can pay $2.5 million to VZW under a deal that will allow the start-up to continue using Verizon’s cellular network while it reorganizes under Chapter 11 protection.

Amp’d owed VZW a total of $33 million, prior to the bankruptcy filing. Under the deal, Amp’d will pay Verizon $2.5 million, which will be used to pay down a portion of Amp’d Mobile’s post-bankruptcy debt to Verizon. VZW has billed Amp’d Mobile $10.6 million for just June, according to court papers.

In return for the partial payment, Amp’d Mobile will continue to have access to Verizon’s network. Amp’d Mobile also agreed to drop a lawsuit it filed after Verizon Wireless moved to kick Amp’d off its network.

Comments are closed.