SpaceX’s $17 Billion Acquisition Signals Intensified Competition for Mobile Carriers
Pasadena, CA – September 9, 2025 – SpaceX is directly challenging traditional mobile network operators with a $17 billion (14.5 billion euros) deal to acquire frequencies from Echostar, a financially struggling U.S. carrier, the companies announced Monday. The acquisition, slated to be finalized November 30, 2027, will bolster SpaceX’s “Direct to cell” service, enabling smartphone connectivity via its Starlink satellite constellation without reliance on terrestrial cell towers.
Launched in the united States on February 9th, Direct to Cell utilizes approximately 600 of Starlink’s 7,500+ satellites as orbiting relay antennas. This technology bypasses conventional land networks, offering service in areas where traditional coverage is limited or nonexistent.
“This will make it possible to progress in [our] mission to eliminate white areas [where the phone doesn’t work] around the world,” stated Gwynne Shotwell,President and COO of SpaceX,in a joint dialog with Echostar. She emphasized that Starlink intends to function as a complement to existing operators, focusing on providing connectivity to sparsely populated regions currently underserved by traditional infrastructure. This marks spacex’s first acquisition of mobile frequencies.
