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Why SpaceX made a $17B bet on the direct-to-cell market

SpaceX just fired off one of the biggest shots yet in the spectrum wars, agreeing to pay $17 billion to take over a massive chunk of wireless airwaves from EchoStar for Starlink’s Direct-to-Cell services. The deal is the most aggressive signal yet that SpaceX wants to rule the satellite-to-phone market. The significance of the sale, which sees SpaceX paying a mix of $8.5 billion in cash and $8.5 billion in SpaceX stock, centers around a finite resource: spectrum. Spectrum refers to the range o

SpaceX Strikes Wireless Gold With EchoStar Sale. Expect Better Coverage With These Carriers

Elon Musk’s SpaceX has acquired $17 billion worth of EchoStar’s wireless spectrum, the two companies announced on Monday. The coveted chunk of spectrum, which is used to transmit cellular data through the air, exists in the 1.9 and lower 2GHz spectrum bands. The news comes six weeks after SpaceX launched its satellite texting partnership T-Mobile, called T-Satellite. SpaceX’s Starlink internet service is now poised to dramatically increase its direct-to-cell coverage, which allows users to text

EchoStar to sell spectrum to SpaceX after FCC threatened to revoke licenses

SpaceX's complaints to the Federal Communications Commission have helped the satellite company land a $17 billion deal to buy spectrum licenses from EchoStar. The deal consists of up to $8.5 billion in cash and up to $8.5 billion in SpaceX stock, EchoStar said. SpaceX also agreed to pay $2 billion worth of interest payments on EchoStar debt through November 2027. After SpaceX alleged that EchoStar subsidiary Dish Network "barely uses" its spectrum and urged the FCC to make the spectrum availab

EchoStar offloads satellite spectrum to SpaceX for $17 billion

is a news writer who covers the streaming wars, consumer tech, crypto, social media, and much more. Previously, she was a writer and editor at MUO. Posts from this author will be added to your daily email digest and your homepage feed. Dish parent company EchoStar is selling wireless spectrum licenses to SpaceX for around $17 billion, the companies announced on Monday. SpaceX says it will use the spectrum to create the “next generation” of Starlink’s cellular satellite service, which customers

SpaceX strikes $17B deal to buy EchoStar’s spectrum for Starlink’s direct-to-phone service

Elon Musk’s SpaceX has agreed to acquire 50MHz of wireless spectrum and Mobile Satellite Service spectrum licenses from EchoStar, for use in the Starlink satellite network. EchoStar will sell its AWS-4 and H-block spectrum licenses in exchange for $8.5 billion in cash and $8.5 billion SpaceX stock. SpaceX said the deal would let it develop and deploy its “Direct to Cell” constellation, which it claims can provide broadband-speed internet access to mobile phones across the world. Of the cash, $2

EchoStar stock skyrockets 70% on AT&T deal to buy wireless spectrum for $23 billion

EchoStar stock roared more than 70% higher on Tuesday after AT&T said it agreed to purchase certain wireless spectrum licenses from the telecom company for about $23 billion in an all-cash deal. The sale will add about 50 megahertz of mid-band and low-band spectrum to AT&T's network, with the licenses covering more than 400 markets across the U.S., AT&T said. The deal is expected to close in mid-2026, pending regulatory approval. EchoStar said in a regulatory filing that the transaction is par

FCC chairman helps AT&T cement dominance with $23 billion spectrum deal

EchoStar has agreed to sell $23 billion worth of spectrum licenses to AT&T in a deal spurred by threats made by the Federal Communications Commission to revoke EchoStar's rights to use the spectrum. AT&T said it will use the spectrum to boost its 5G mobile network and expand its fixed wireless home Internet service. The AT&T/EchoStar deal, which is expected to be completed in mid-2026, could mark the beginning of EchoStar's spectrum portfolio being carved up and sold to other carriers. Starlink

Dish gives up on becoming the fourth major wireless carrier

is a news writer who covers the streaming wars, consumer tech, crypto, social media, and much more. Previously, she was a writer and editor at MUO. Dish’s parent company, EchoStar, is selling a broad swath of its 5G spectrum licenses to AT&T for $23 billion. Under the deal, the Dish-owned Boost Mobile will primarily operate using AT&T’s growing network — a move that marks “the end of the road for the fourth carrier,” says Roger Entner, founder and lead analyst at Recon Analytics. As part of T-

EchoStar stock skyrockets 75% on AT&T deal to buy wireless spectrum for $23 billion

EchoStar said in a regulatory filing that the transaction is part of the company's "ongoing efforts to resolve the Federal Communications Commission's inquiries." The sale will add about 50 megahertz of mid-band and low-band spectrum to AT&T's network, with the licenses covering more than 400 markets across the U.S., AT&T said. The deal is expected to close in mid-2026, pending regulatory approval. EchoStar stock roared more than 75% higher on Tuesday after AT&T said it agreed to purchase cert

FCC threat to revoke EchoStar spectrum licenses draws widespread backlash

The Federal Communications Commission is facing widespread criticism after threatening to revoke EchoStar licenses for spectrum bands that rival firms, including SpaceX, want to take over. Opposition to license revocations came from conservatives, telecom consumer advocates, and some industry groups. The Free State Foundation, a free-market group that has generally supported Republican priorities at the FCC, filed comments saying that "arbitrary" decisions would create instability in the market