Amp’d Mobile signs deal with Verizon Wireless to stay alive

Posted by Will on Sunday, June 24th, 2007 at 10:25 pm under Partnerships, Services, Announcements

The now-bankrupt MVNO, Amp’d Mobile, has just inked a deal with Verizon Wireless that will allow the MVNO to continue operations during its Chapter 11 re-organization. According to Forbes, the deal will allow Amp’d subscribers to access the Verizon Wireless network, but stipulates that Amp’d Mobile will drop the lawsuit that it filed against Verizon Wireless when they threatened to kick Amp’d off its network.

So, if we understand correctly, the deal would allow Amp’d Mobile to access the Verizon Wireless network until they decide to kick Amp’d off of it. It seems a bit like borrowing the same cup of sugar that you already borrowed yesterday. But, all kidding aside, nobody wants Amp’d Mobile to really go belly-up for good -  especially Verizon Wireless and their $33 million promissory note from Amp’d.

Apparently, the deal will help Amp’d Mobile secure funding as it tries to keep its head above water. According to court documents, the Verizon lawsuit had “hindered (Amp’d Mobile) to procure debtor in possession financing.”

So, who wants to lend Amp’d Mobile some more money? Any takers?

[Via: MocoNews]


Related Mobile News:

  • Amp’d Mobile extends service termination deadline - the dream dies on July 31st
  • Amp’d Mobile to shut down on Tuesday
  • Qwest looking to partner with Verizon Wireless, shunning Sprint?
  • Virgin Mobile USA to increase IPO offering to $506 Million
  • Helio gets another cash infusion from SK Telecom and Earthlink

    • 5 Responses to “Amp’d Mobile signs deal with Verizon Wireless to stay alive”

    • Leslie says:
      July 17th, 2007 at 3:40 pm

      if u want to use an ampd mobile perpaid can you conect it with a verison wireless sim card?? :twisted: :?:

    • Virgin Mobile USA to increase IPO offering to $506 Million says:
      July 20th, 2007 at 4:01 pm

      […] funds will be used to pay off some of Virgin Mobile’s accrued debt, unlike other MVNOs that shall remain nameless, as well as the buying out an unspecified portion of Sprint Nextel’s stake in the wireless […]

    • MVNO deathroll - Voce goes belly-up? says:
      February 2nd, 2008 at 8:33 pm

      […] not sure if we should chalk up Voce as just another MVNO gone belly-up or an incredibly unreliable network operator. You see, the luxury MVNO, leasing AT&T’s […]

    • MVNO deathroll - Voce goes belly-up? - Pocket.Info - Mobile 2.0 says:
      February 2nd, 2008 at 8:41 pm

      […] not sure if we should chalk up Voce as just another MVNO gone belly-up or an incredibly unreliable network operator. You see, the luxury MVNO, leasing AT&T’s […]

    • Qwest looking to partner with Verizon Wireless, shunning Sprint? says:
      February 27th, 2008 at 11:25 am

      […] with Sprint. So if they don't end up bailing on the whole MVNO venture (like so many others have done) by then, we may just see Qwest leasing network time from Verizon […]

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