SpaceX bought spectrum that penetrates walls: what does it still need to compete with US telecom operators?

SpaceX agreed on 8 October to buy nationwide 800 MHz spectrum from Grain Management, sending US and European telecom stocks lower and tower stocks higher. We first explain spectrum, why some frequencies penetrate walls and how telecom operators earn profits, then map the deal onto the three network layers and assess the companies using the EL7 score.

MHz at the maximum bandwidth of the 800 MHz spectrum SpaceX agreed to buy, pending FCC approval

2.9

billion dollars in cash Grain paid T-Mobile for the same spectrum in August, alongside 600 MHz licences

−32.2%

Change in T-Mobile shares since the eve of SpaceX's deal with EchoStar in September 2025

29.2

dollars per subscriber per month to recoup a 70 billion dollar network over 10 years with 20 million subscribers

This part of the paper is open to EL7 Pro members and to free members who use one of this month's free papers on it. The paper goes on to analyse the numbers, the causes and what they mean for investors, with tables, charts and sources.

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EL7 Research · Industry Guide

9 October 2026 · Prices as of the 8 October close