USDTV is now negotiating with the bankruptcy courts to permit the continuation of the service so the assets can be sold.

U.S. Digital Television, a fledgling wireless cable service provider that offered 30 channels of basic cable for $19.95 per month, has filed for Chapter 7 liquidation bankruptcy. The filing listed assets of $1 million-$10 million and estimated debts of $10 million-$50 million. The Utah-based company claimed to have

The Deseret Morning News reports that a court-appointed trustee was able to obtain a court order allowing USDTV's off-air subscription DTV service to continue during the reorganization. It also said a few employees were back at the phones at the USDTV customer call center. According to the article, "USDTV customer

The cable TV competitor is seeking to remain on-air until its assets can be liquidated.

At least two broadcast-related interests are negotiating to secure the assets of USDTV , the two-year old innovative "wireless cable" firm propelled by local broadcasters that filed for Chapter 7 bankruptcy protection on July 6 in Delaware (Petition 06-10701-BLS). USDTV CEO Steve Lindsley said the maverick start-up,

USDTV is shutting down.

A U.S. Bankruptcy Judge has ruled that all the necessary requirements were met for the company to implement its reorganization strategy.

NexGen Telecom has purchased the company’s assets and has begun adding to its program offerings.