The big problems came from an attempt to use satellite downlink spectrum in an inappropriate way that would cause problems for adjacent users (GPS in particular

The big problems came from an attempt to use satellite downlink spectrum in an inappropriate way that would cause problems for adjacent users (GPS in particular). Lightsquared wanted to run high power terrestrial transmitters in that band. They promised the FCC that they could make things work, but the physics of the situation prevented that. Lobbyists were not the issue, a bonehead technical decision was. Presumably SpaceX will be able to avoid any errors that obvious in their use of spectrum for their system.