EL7.AI
StocksMedium•22 October 2026•
3 min read

SpaceX agrees to buy spectrum for about $8 billion for mobile services

Key Facts

1Reuters reported, citing the Wall Street Journal, that the cash consideration for the Grain deal is about $8 billion.
2The Federal Communications Commission authorized the launch of 15,000 satellites under the application for the second-generation Starlink Mobile constellation.
3T-Mobile shares fell 13.2% in the session following the announcement to their lowest level in more than 33 months.
4Shares of American Tower, Crown Castle and SBA Communications rose between 3% and 4.5% after the close of the session in which the announcement was made.
5The deal covers 100% of Grain's nationwide portfolio in the 800 MHz band and remains subject to Federal Communications Commission approval.

SpaceX has agreed to buy a spectrum portfolio from Grain Management for about $8 billion in cash, Reuters reported, citing the Wall Street Journal, as part of its plan to provide mobile services through a network combining terrestrial and satellite communications. The deal, announced in October 2026, covers a nationwide spectrum portfolio. The agreement is part of the company's push into mobile services through its Starlink Mobile project. SpaceX said the planned service infrastructure would link its satellite constellation with an advanced terrestrial deployment, Light Reading reported, citing its statement. The company described the infrastructure as "combining our direct-to-cell constellation from space with an advanced terrestrial deployment."

The project's regulatory backdrop includes Federal Communications Commission approval to launch 15,000 satellites, according to Reuters. The authorization came under SpaceX's application for its second-generation Starlink Mobile constellation. On the spectrum side, the Grain portfolio the company has agreed to buy is in the 800 MHz band. Reuters reported that most existing mobile phones support this band, linking the targeted spectrum to devices already in use. The agency said "most existing mobile phones support the 800 MHz frequency band."

In the initial reaction to the spectrum agreement announcement, mobile carriers' shares came under pressure in after-hours trading, according to Investing.com. AT&T fell 6.75%, posting the biggest decline among the carriers cited in that trading. T-Mobile dropped 5.4%, while Verizon lost 5%. Pressure on T-Mobile continued in the session following the announcement as competition concerns surrounding SpaceX's plan intensified. Reuters reported that the stock fell 13.2% during that session to its lowest level in more than 33 months. Moving in the opposite direction to mobile carriers, shares of American Tower, Crown Castle and SBA Communications rose, according to Investing.com's coverage published the day after the announcement. Shares of those tower companies gained between 3% and 4.5% in after-hours trading following the session in which the deal was announced.

Federal Communications Commission approval remains the regulatory step required to proceed with the Grain deal announced in October 2026, according to Reuters. The proposed acquisition covers 100% of the company's nationwide portfolio in the 800 MHz band. Under the agreement, SpaceX aims to buy the entire portfolio rather than a partial stake. Reuters said the deal "remains subject to Federal Communications Commission approval." Completion of the agreement is also subject to closing conditions, while the network combining terrestrial deployment and satellite connectivity to mobile phones remains a future plan for the company.