The rumors of Bandwidth9 Inc.'s insolvency were not exaggerated. The laser startup filed for Chapter 11 bankruptcy protection in the Northern District of California (Oakland) court on Friday.

Rumors that this was about to happen were rife earlier that day (see Iolon's Alright ).

The court filing lists both assets and debts of Bandwidth9 as "$1 million to $10 million" -- which compares with total funding that was well over $100 million. The company announced an $80 million round in November 2000 and most likely had other financing rounds, bridge loans, and debt transactions after that date (see Bandwidth9 Raises $80 Million).

Bandwidth9 got its start making long-wavelength (1550nm) Vertical Cavity Surface Emitting Lasers (VCSELs). It appeared to have shut up shop in February 2003, but it then reemerged, making shorter-wavelength (1310nm) VCSELs, earlier this year (see Bandwidth9 to Suspend Operations, Bandwidth9 Goes Dark, and Bandwidth9 Thinks Shorter).

The company could come back again, as Chapter 11 isn't always a death sentence. In order to do so, it would have to find some pretty brave backers in a technology segment where there's been more ground cleared than anyone can plow.

— Peter Heywood, Founding Editor, Light Reading