SpaceX Spectrum Deal Sinks T-Mobile 13.27% and Verizon 8.75% as Starlink Eyes Mobile Service
Updated
Updated · CNBC · Oct 9
SpaceX Spectrum Deal Sinks T-Mobile 13.27% and Verizon 8.75% as Starlink Eyes Mobile Service
3 articles · Updated · CNBC · Oct 9
Summary
T-Mobile fell 13.27%, Verizon 8.75% and AT&T 9.81% on Friday after SpaceX agreed to buy a nationwide spectrum portfolio to push Starlink beyond broadband into mobile service.
The deal covers up to 14 megahertz of paired 800 MHz spectrum from Grain Management, giving SpaceX what analysts called the outline of a real network alongside its satellite assets.
Brendan Carr, whose FCC must approve the transaction, said more spectrum competition would benefit consumers and estimated more than $100 billion of spectrum could come to market over the next two years.
JPMorgan said the acquisition makes Starlink Mobile's long-term opportunity more credible, though it still sees limited near-term risk to incumbent carriers because building a terrestrial network will take time, infrastructure and capital.