Elon Musk's SpaceX eyes mobile network launch with $17 billion spectrum acquisition

Elon Musk’s SpaceX has struck a $17 billion agreement to acquire wireless spectrum licences from US-based EchoStar, a move that could transform its Starlink satellite internet service into a full-fledged mobile connectivity platform.

The deal, one of SpaceX’s biggest steps into telecommunications to date, positions Starlink to compete more directly with established carriers such as Verizon, AT&T and T-Mobile. Analysts say the biggest beneficiaries could be rural and remote areas, where mobile coverage remains limited despite years of investment from traditional operators.

Musk outlined his vision for the expanded service during an appearance on the All-In podcast, saying the outcome of the spectrum acquisition would be that “you should be able to watch videos anywhere on your phone.”

As part of the agreement, EchoStar’s Boost Mobile customers will gain access to Starlink’s direct-to-cell technology, which enables connectivity in places conventional networks cannot reach. EchoStar president Hamid Akhavan said the partnership would allow a “faster and more economical” rollout of satellite-based services for Boost subscribers.

Starlink has already piloted satellite-powered texting in collaboration with T-Mobile under the “T-Satellite” brand. With the new spectrum, the company plans to extend its offerings to include data services later this year, followed by voice calling.

While Musk has not ruled out competing head-on with leading mobile carriers, even suggesting that acquiring a major telecom like Verizon is “not out of the question”, the immediate focus remains on integrating Starlink’s satellites with mobile devices. If successful, the initiative could eventually allow users to stream content, make calls and access data directly through satellites without relying solely on terrestrial towers.