SpaceX has reached an agreement to acquire a portfolio of nationwide low-band spectrum licenses from the private equity firm Grain Management. This acquisition is intended to support the Starlink Mobile service and facilitate its entry into the US telecommunications market. The deal is currently awaiting approval from the Federal Communications Commission.
The acquired spectrum includes up to 14 MHz of paired low-band frequencies in the 800 MHz range. SpaceX noted that these frequencies provide strong signal penetration, which will help improve coverage in indoor and outdoor areas, as well as in regions where traditional cellular networks are currently unavailable.
Elon Musk described the acquisition as a significant move, calling it the final piece of the spectrum puzzle required for full mobile coverage in the US. The company plans to integrate this low-band spectrum with its existing 2 GHz mid-band capacity to establish a hybrid satellite and terrestrial network.
Following the announcement, shares of major US wireless carriers declined in after-hours trading. AT&T stock fell by approximately 6.75 percent, T-Mobile dropped by about 5.4 percent, and Verizon saw a decline of 5 percent. Investors expressed concerns regarding potential price competition.
