Shares of AT&T, Verizon, and T-Mobile fell sharply in extended trading on Thursday following the announcement that SpaceX has agreed to acquire a major spectrum portfolio. The move marks an aggressive expansion of SpaceX’s Starlink service into the terrestrial telecommunications market in the United States.
The agreement involves the purchase of an 800 megahertz spectrum asset from Grain Management, a firm specializing in digital infrastructure. The transaction remains contingent upon receiving regulatory approval from the Federal Communications Commission (FCC).
The market reaction highlights growing investor concern that the addition of low-frequency spectrum—a critical resource for mobile network coverage and signal penetration—could significantly enhance SpaceX’s competitive positioning against established wireless providers.
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