On Tuesday, August 4, 2026, SpaceX announced its ambition to build a full-fledged mobile service, signaling potential competition with US wireless giants Verizon, AT&T, and T-Mobile. The company acquired 65 megahertz of wireless spectrum licenses from EchoStar for $19.6 billion through two deals announced last year, providing Starlink with the airwaves needed to expand into mobile services.

SpaceX President Gwynne Shotwell stated during a post-earnings call that the spectrum includes terrestrial components and that the company intends to build out terrestrial infrastructure. She emphasized plans to make Starlink "a true mobile service" and expects to attract "quite a few" customers from the Big Three wireless carriers.

This marks SpaceX's clearest indication of pairing its satellite network with ground-based infrastructure to offer a broader wireless service, moving beyond its current direct-to-device service primarily for areas lacking cellular coverage.

Following the announcement, shares of Verizon, AT&T, and T-Mobile fell between 2.2% and 4% in after-hours trading.

Analysts expressed mixed views on the challenge Starlink poses. Craig Moffett of MoffettNathanson noted, "Unless Starlink can secure an MVNO (Mobile Virtual Network Operator) agreement from one of the carriers, which would provide a baseline of coverage, it's extraordinarily challenging to imagine a direct-to-consumer service from Starlink that could be competitive with carrier services in the next five years."

David Barden from New Street Research commented, "It makes no sense for SpaceX to try to replicate what terrestrial players have built over 30 years with 1000 MHz between them, with 65 MHz," though he acknowledged some investors may be underestimating the potential disruption.

David Wagner, portfolio manager at Aptus Capital Advisors, supported SpaceX's valuation, saying, "I definitely think what Elon said on the call about investors undervaluing that side of the business is absolutely correct in my mind."

Shotwell declined to discuss the cost of building out mobile services, citing "great and new ideas" that would be capital efficient.

Sources