SpaceX Buys Spectrum to Turn Starlink Mobile Into a Carrier

SpaceX this week announced two developments that further its goal of becoming a major U.S. carrier to compete with AT&T, Verizon, and T-Mobile.

It is acquiring a low-band spectrum license portfolio in the 800MHz band, which it says addresses one of the "remaining technical gaps" that will let it to compete with other carriers. Most smartphones already support the 800MHz band SpaceX is buying.

The FCC approved the Starlink Mobile Gen2 constellation application, letting SpaceX launch 15,000 satellites optimized for 2GHz spectrum globally. The company says the Starlink Mobile satellites will "deliver more than 100 times the bandwidth" of the current generation. The FCC also issued SpaceX a waiver permitting the company to offer wireless service through its satellites without a spectrum leasing agreement with a terrestrial carrier.

After receiving final FCC approval for the new spectrum purchase, SpaceX will combine its satellites with an "advanced terrestrial deployment" to connect devices everywhere. SpaceX says the 2GHz mid-band spectrum will offer high-bandwidth capacity in the U.S., while the new low-band spectrum will allow Starlink's signal to penetrate through obstacles like walls.

SpaceX plans to be the first network operator to deploy satellite and terrestrial spectrum. It says it will offer a single network with "a reliable service indoors, outdoors, in cellular dead zones, and everywhere in between."

SpaceX already powers T-Mobile's satellite feature, but T-Mobile recently removed SpaceX branding from its website after finalizing a joint satellite venture with AT&T and Verizon. SpaceX's Starlink Mobile announcement caused shares of AT&T, Verizon, and T-Mobile to drop, with Verizon seeing its worst one-day fall since 2002.

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