Elon Musk’s space venture SpaceX has entered a major agreement that could transform the global mobile connectivity landscape. The company has reportedly finalized a deal worth $17 billion to acquire wireless spectrum licences from US-based EchoStar.
This strategic move will allow SpaceX to expand its satellite internet service Starlink into the mobile domain, raising strong speculation that Musk may soon launch a SpaceX-powered 5G mobile network.
Industry watchers suggest that this development could disrupt the US telecom sector, currently dominated by Verizon, AT&T, and T-Mobile, by bringing satellite-backed mobile connectivity directly to consumers.
The acquisition of spectrum licences is not just a financial investment but a bold step to integrate satellites with mobile devices. By doing so, SpaceX could bridge the gap between terrestrial telecom towers and satellite internet, ensuring seamless coverage in underserved areas.
According to news agency post, experts believe the biggest beneficiaries of this initiative will be rural and remote communities, where traditional operators often struggle to provide reliable coverage.
Speaking on the “All-In” podcast, Musk highlighted the broader impact of the deal, saying the result would be that “you should be able to watch videos anywhere on your phone.”
This reflects his long-term ambition to ensure uninterrupted mobile services worldwide, eliminating connectivity dead zones.
As part of the agreement, Boost Mobile, a brand owned by EchoStar, will gain access to Starlink’s direct-to-cell service. EchoStar president Hamid Akhavan called the deal a way to enable a “faster and more economical” rollout of satellite services for Boost subscribers.
This integration will ensure that even users in hard-to-reach geographies will experience consistent mobile network performance.
Starlink has already experimented with satellite texting through its collaboration with T-Mobile, under the service named “T-Satellite”, available on a monthly subscription.
With the newly acquired spectrum, SpaceX plans to roll out:
Data services by the end of this year
Voice calling services shortly after
This progression will expand Starlink’s role from an internet provider to a full-fledged mobile network operator capable of handling data, calls, and streaming directly through satellites.
On being asked during the podcast whether he might consider acquiring a major telecom company like Verizon, Musk replied that it was “not out of the question.”
While such a move remains speculative, industry experts note that Musk’s aggressive approach signals that SpaceX is serious about competing with established carriers.
If SpaceX succeeds in deploying a satellite-powered 5G network, users may no longer need to depend solely on ground-based towers. Instead, mobile phones will connect directly to low-Earth orbit (LEO) satellites for calls, browsing, and high-quality video streaming.
For Consumers: Broader and more reliable connectivity, even in rural, coastal, and remote regions.
For Telecoms: Greater competition may drive down costs and accelerate network innovation.
For Global Connectivity: A step toward bridging the digital divide worldwide.
Elon Musk’s $17 billion spectrum acquisition signals SpaceX’s intent to disrupt the mobile telecom industry. By merging Starlink’s satellite infrastructure with mobile connectivity, Musk aims to offer a next-generation 5G ecosystem that eliminates dead zones and extends reliable service to underserved regions.
While competing directly with telecom giants remains a possibility, the immediate focus is on delivering universal, affordable, and high-speed mobile access. This bold step could redefine the way people connect, stream, and communicate in the coming decade.