SpaceX eyes low-band spectrum and possible carrier buyout to challenge telecom giants
SpaceX is exploring ways to acquire low-band C-band spectrum, either by buying rivals or bidding in next year’s auction, as it prepares to take on AT&T, Verizon and T-Mobile.
Industry insiders report that SpaceX is actively hunting low-band C-band spectrum to strengthen its Starlink mobile offering, evaluating both outright acquisitions of rival carriers and participation in a federal auction scheduled for next year. The strategy follows earlier steps, including the purchase of spectrum from Charlie Ergen’s Echostar and a prototype handset shown by President Gwynne Shotwell. Analysts expect Starlink’s mobile segment to reach $15 billion in revenue this year, and Musk has publicly said buying a carrier could happen.
Funding could come from a share-issuance model akin to the $60 billion all-stock deal for Cursor. If SpaceX enters the auction, legacy carriers might face heightened debt pressures, given their already high cost of capital. The company declined to comment on the plans. Executives at AT&T and other incumbents have warned that SpaceX is entering the market late, but acknowledge its financial firepower could reshape the telecom landscape.
Why it matters
SpaceX’s push for spectrum could disrupt the U.S. telecom market and affect pricing and competition for consumers.
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