SpaceX agrees to buy 800 MHz spectrum to make Starlink Mobile a US mobile operator
In short
SpaceX has agreed to acquire a nationwide portfolio of low-band spectrum licences, up to 14 MHz of paired spectrum in the 800 MHz band, which the company said would let Starlink Mobile become a major mobile operator in the United States. Kommersant and Vedomosti reported the seller is investment firm Grain Management; the deal still needs approval from the US Federal Communications Commission (FCC).
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SpaceX has agreed to acquire a nationwide portfolio of low-band spectrum licences covering up to 14 MHz of paired spectrum in the 800 MHz band, a move the company said would clear the way for its Starlink Mobile service to become a major mobile operator in the United States, RIA Novosti reported. Kommersant and Vedomosti reported that the licences are being bought from investment firm Grain Management. Vedomosti, citing Reuters, said the financial terms were not officially disclosed, and that according to the Wall Street Journal SpaceX will pay about $8 billion in cash. [ 3 , 5 , 6 ]
Kommersant reported that SpaceX head Elon Musk called the purchase "the last critical piece of the spectrum puzzle SpaceX needs for full cellular coverage in America". In a statement quoted by RIA Novosti, the company said the spectrum removes one of the key remaining technical gaps, and that direct satellite links to ordinary smartphones on these frequencies can penetrate building walls, giving stable coverage without traditional ground towers. Kommersant said the spectrum covers practically the entire US population, and Vedomosti said low-band signals travel long distances and pass better through walls and tree canopies. [ 3 , 5 , 6 ]
The deal still needs FCC approval. After final approval, the project would become a hybrid network combining the satellite constellation with ground infrastructure, including in areas with no mobile coverage, the company said. 3DNews wrote that this would put SpaceX in competition with T-Mobile, AT&T and Verizon, and quoted the company as saying that with the new low-band spectrum and its second-generation constellation, Starlink Mobile could become the first network operator to use both satellite and terrestrial spectrum. Vedomosti said SpaceX plans to combine the new spectrum with the 2 GHz band already used by Starlink Mobile; 3DNews said SpaceX earlier bought 2 GHz frequencies from EchoStar, including the AWS-4, H-block and MSS bands. [ 3 , 4 , 6 ]
Outlets gave different figures for the market reaction. Kommersant, citing Bloomberg, said shares of incumbent cellular providers fell almost 8% after the announcement, while Vedomosti said shares of T-Mobile, Verizon and AT&T fell about 6% in extended trading. Verizon spokesperson Rich Young (Рич Янг) said that the availability of spectrum by itself does not guarantee SpaceX can build a full mobile network, Vedomosti reported. [ 5 , 6 ]
According to Kommersant, the deal became possible after a spectrum swap between Grain and T-Mobile in August, which the FCC approved while requiring a call for applications to use under-used frequencies. Separately, the FCC approved the deployment of 15,000 next-generation Starlink Mobile satellites, which Vedomosti said will be optimised for the 2 GHz band and standard mobile phones; SpaceX says their capacity will be more than 100 times that of the current generation, 3DNews reported. Vedomosti added that SpaceX has developed Starlink since 2019, and that in spring 2026 the service had about 10.3 million subscribers in 164 countries, accounting for almost 70% of the company's quarterly revenue. [ 4 , 5 , 6 ]
Why it matters
According to 3DNews, the plan would put SpaceX in competition with T-Mobile, AT&T and Verizon, and business outlets reported that shares of those carriers fell after the announcement. A Verizon spokesperson questioned whether spectrum alone lets SpaceX build a full mobile network.
Key facts
- SpaceX agreed to acquire a nationwide portfolio of low-band spectrum licences of up to 14 MHz of paired spectrum in the 800 MHz band. [ 3 , 4 ]
- The licences are being bought from investment firm Grain Management. [ 5 , 6 ]
- Vedomosti, citing Reuters, said terms were not officially disclosed; according to the Wall Street Journal, SpaceX will pay about $8 billion in cash. [ 6 ]
- The deal requires approval from the US Federal Communications Commission (FCC), after which SpaceX plans to combine its satellite service with a terrestrial network. [ 3 , 4 , 5 , 6 ]
- SpaceX said the low frequencies can penetrate building walls and improve coverage indoors. [ 3 , 4 , 5 ]
- Elon Musk called the deal "the last critical piece of the spectrum puzzle SpaceX needs for full cellular coverage in America", Kommersant reported. [ 5 ]
- The FCC separately approved the deployment of 15,000 next-generation Starlink Mobile satellites. [ 4 , 6 ]
- Shares of US mobile carriers fell after the announcement: by almost 8% according to Bloomberg, cited by Kommersant, and by about 6% in extended trading according to Vedomosti. [ 5 , 6 ]
Confirmed by several sources
- SpaceX announced plans to become a mobile operator in the United States. [ 1 , 3 , 4 , 5 , 6 ]
- SpaceX agreed to acquire up to 14 MHz of paired low-band spectrum in the 800 MHz band. [ 3 , 4 ]
- The seller of the 800 MHz licences is Grain Management. [ 5 , 6 ]
- The deal requires approval from the US Federal Communications Commission. [ 3 , 4 , 5 , 6 ]
- The FCC approved the deployment of 15,000 next-generation Starlink Mobile satellites. [ 4 , 6 ]
Still unclear
- The price of the deal. Terms were not officially disclosed; the figure of about $8 billion in cash comes from the Wall Street Journal as cited by Reuters and Vedomosti.
- How far carrier shares fell. Kommersant, citing Bloomberg, reported a drop of almost 8%, while Vedomosti reported about 6% in extended trading.
- When or whether the FCC will approve the deal. All reports say approval is still needed; none gives a timeline.
- Whether SpaceX can build a full mobile network. A Verizon spokesperson said spectrum alone does not guarantee this.
What local media are saying
Timeline, local time
- TASS reports that SpaceX is preparing to become a major US communications operator. [ 1 ]
- RIA Novosti reports SpaceX's statement on the 800 MHz spectrum deal. [ 3 ]
- 3DNews reports on the deal and FCC approval of 15,000 second-generation satellites. [ 4 ]
- Kommersant reports the licences are bought from Grain Management and quotes Elon Musk. [ 5 ]
- Vedomosti reports the price of about $8 billion cited from the Wall Street Journal, and the drop in carrier shares. [ 6 ]