Science & Tech · Big Tech & Internet · 6 hrs ago
SpaceX’s spectrum deal is a first step toward a U.S. mobile network
SpaceX is moving toward becoming a U.S. mobile carrier, using Starlink satellites and newly acquired wireless spectrum.
The company has bought 800 MHz of spectrum for nearly US$8 billion and previously agreed to spend close to US$20 billion on separate spectrum.
Its plan combines satellite connections with ground-based equipment, such as antennas on towers and rooftops, to serve phones.
Starlink’s existing internet business has focused on rural areas, but reliable mobile service in cities is more difficult because phones have small antennas and satellites orbit far above Earth.
Building a network could cost more than US$80 billion and require major spending on infrastructure, customer service and promotions.
AT&T, Verizon and T-Mobile already have extensive networks, and SpaceX may need several times more spectrum to match their holdings.
A full-scale rival could take years to build, while SpaceX also has other costly projects underway.
The company has regulatory approval for up to 15,000 Starlink Mobile satellites, but it has not set out a timeline for completing the network.
SpaceX’s purchase of 800 MHz of spectrum is a step toward building a U.S. mobile network under its Starlink Mobile brand.
The company says its plan will combine satellite connections with terrestrial infrastructure such as antennas on towers and rooftops.
Analysts say building a network that can rival major carriers will require substantial investment and could take years.
SpaceX has regulatory authorization for up to 15,000 Starlink Mobile satellites.
The company’s plans come as it also invests in its Starship rocket program, AI infrastructure and a chip factory.
- Who
- SpaceX, through its Starlink Mobile service, is seeking to enter the U.S. mobile market.
- What
- It agreed to buy 800 MHz of spectrum licenses from Grain to support a planned mobile network.
- When
- The spectrum purchase was announced shortly before the articles were published on October 16 and 17, 2026.
- Where
- The planned network is for the United States.
- Why
- SpaceX says the spectrum is a critical step toward providing mobile service. It plans to combine satellite connections with terrestrial infrastructure.
SpaceX
Skeptics of SpaceX’s plan
Network strategy
SpaceX
SpaceX says it will combine satellite-to-mobile connections with terrestrial infrastructure to connect devices in different locations.
Skeptics of SpaceX’s plan
Analysts say a terrestrial network and substantial investment will be needed to compete with established carriers.
Prospects
SpaceX
SpaceX describes the spectrum purchase as a critical next step for Starlink Mobile.
Skeptics of SpaceX’s plan
Analysts say building a rival network will be difficult and could take years; a TD Cowen estimate puts the cost above US$80-billion.
SpaceX agreed to purchase close to $20-billion worth of EchoStar spectrum, according to The Verge.
The FCC approved deployment of up to 15,000 next-generation Starlink satellites, according to The Verge.
SpaceX agreed to buy 800 MHz of spectrum licenses from Grain, a deal described as a critical step toward Starlink Mobile.
- Spectrum purchase
- 800 MHz of licenses from Grain
- Spectrum price
- Nearly US$8-billion, according to a source cited by the Globe and Mail
- Satellite authorization
- Up to 15,000 Starlink Mobile satellites
- Estimated network cost
- More than US$80-billion, according to TD Cowen
- Existing carriers
- AT&T, Verizon and T-Mobile
3 sources
What people are saying
It’s just hard to imagine that this is all going to get done within a decade
There are too many pitfalls for satellite to be the only source of data
Starlink Mobile will deploy a flexible architecture combining our satellite-to-mobile constellation in space with an advanced terrestrial deployment that can seamlessly connect devices everywhere