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Starlink spectrum deal boosts Musk plan to beat AT&T, T-Mobile, and Verizon

Starlink spectrum deal boosts Musk plan to beat AT&T, T-Mobile, and Verizon

Summary

SpaceX has agreed to buy low-band spectrum licenses to help build a new mobile network that works alongside its Starlink satellite internet service. This deal, approved by the US government, will help SpaceX offer wireless coverage across the whole United States and compete with big carriers like AT&T, T-Mobile, and Verizon.

Key Facts

  • SpaceX will purchase up to 14 megahertz of low-band spectrum in the 800 MHz band from Grain Management.
  • Grain Management had bought this spectrum from T-Mobile, which had to sell it after merging with Sprint.
  • The 800 MHz spectrum covers nearly 100% of the US population and is good at penetrating buildings and obstacles.
  • SpaceX already bought 65 MHz of mid-band spectrum from EchoStar for $17 billion, approved by the FCC.
  • The new low-band spectrum will improve coverage and support most existing mobile devices.
  • SpaceX plans to use many small base stations and Starlink antennas to provide wireless service.
  • SpaceX partners with T-Mobile and leased 10 MHz of mid-band spectrum from them but now aims to compete directly.
  • Some small wireless providers oppose the deals, fearing it limits rural competition.
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