### EchoStar Weighs Chapter 11 Bankruptcy Amid FCC Scrutiny

EchoStar, a telecommunications services firm, is contemplating filing for Chapter 11 bankruptcy in an effort to protect its valuable wireless spectrum licenses from potential revocation by federal regulators, according to a Wall Street Journal report.

The situation intensified last month when the Federal Communications Commission (FCC) announced an investigation into EchoStar's compliance with certain federal mandates related to the provision of 5G service within the United States. The inquiry specifically called into question the company’s buildout extension and its mobile-satellite services.

EchoStar has expressed that the FCC’s actions have significantly restricted its capacity to make key strategic decisions concerning the growth and investment of its Boost Mobile business. This has been corroborated by a regulatory filing from the company made public last month.

In addition to regulatory challenges, EchoStar has revealed that it missed around $500 million in interest payments, attributing this lapse to uncertainties stemming from the ongoing FCC review.

Compounding EchoStar’s troubles, U.S. satellite TV provider DirecTV terminated an agreement last year to acquire EchoStar's satellite television division, which includes its rival Dish TV, following an unsuccessful debt-exchange offer.