SpaceX Acquires US$8Billion Spectrum for Starlink Mobile Launch

• SpaceX acquires US$8 billion spectrum to expand Starlink Mobile in the US.

• Telecom giants face rising competition, accelerating satellite connectivity partnerships.

By Attala Sabian Andhika, Maria Ella Risandra Puruhita, Nashwah Putri Az-Zahra

October 16 2026, at 16:30 GMT+7

SpaceX announced an agreement to acquire a nationwide 800 MHz low-band spectrum portfolio, including up to 14 megahertz of paired low-band spectrum licenses from Grain Management for approximately US$8 billion. 

Read more: Andi Syamsuddin Secures 30.25% Stake in BYAN at Discount

This acquisition aims to expand the company's Starlink Mobile service directly into the US telecommunications market. Unlike traditional satellite services, most standard mobile handsets already support the 800 MHz frequency band, eliminating the need for consumers to purchase specialized proprietary satellite phones. 

However, the transaction remains subject to official regulatory approval from the Federal Communications Commission (FCC). Grain Management previously acquired these specific airwaves from T-Mobile earlier this year.

A SpaceX Falcon 9 rocket launches 24 Starlink internet satellites from California's Vandenberg Space Force Base | Source: Space.com

Acquiring low-band spectrum addresses key technical challenges for satellite connectivity because low frequencies penetrate dense building walls and travel long distances far better than high-frequency bands. 

Read more: Sinar Mas Takes Control of KETR Through 35% Acquisition

SpaceX plans to build a hybrid architecture combining space-based signals with terrestrial radio infrastructure, rooftop antennas, and cell towers. Industry experts emphasize that SpaceX must still deploy physical ground towers to ensure reliable urban coverage.

To support this expansion, the FCC approved SpaceX's second-generation Starlink application, authorizing 15,000 satellites operating in very low Earth orbit using 2 GHz spectrum. Additionally, the FCC proposed auctioning 25 megahertz of prime spectrum and making 482 MHz available for supplemental space coverage.

Chairman of the US Federal Communications Commission Brendan Carr| Source: CNBC

The deal poses a direct commercial threat to legacy wireless carriers AT&T, Verizon, and T-Mobile, causing their shares to fall following the announcement. In response to growing competition from SpaceX, these three incumbent carriers recently formed a joint venture focused on expanding direct-to-device satellite coverage in underserved areas. 

Read more: Suahasil Replaces Purbaya as Indonesia's Minister of Finance

Meanwhile, SpaceX stock climbed, supported by its public valuation exceeding US$2 trillion and Starlink's expanding subscriber base of over 12 million globally. Starlink generated US$1.66 billion in operating income on US$4.29 billion in revenue during the second quarter. 

FCC Chair Brendan Carr praised the transaction between SpaceX and Grain Management, stating it will foster investment, expand connection opportunities, and benefit consumers across America.

---

Sources:

CNBC 

IDNFinancials

Reuters