2 hours ago - Business

SpaceX pens $8B spectrum deal

Lucinda Shen

Animated illustration of a data center server rack floating through space. — Illustration: Brendan Lynch/Axios

SpaceX inked an $8 billion deal to acquire a nationwide low-band spectrum portfolio from Grain Management on Thursday, per the WSJ.

Why it matters: AT&T, Verizon, and T-Mobile shed some $36 billion in combined market cap on the news.

SpaceX gained 3% — or $67 billion in pre-market trading.

Between the lines: Buying these licenses allows it to reach areas that satellite currently struggles to do, like the inside of buildings.

The bottom line: The spectrum could serve SpaceX's stated ambition of moving its Starlink satellite service beyond broadband into the wireless market to compete with the likes of AT&T and Verizon." — WSJ

Go deeper: AT&T CEO says Elon Musk's SpaceX phone strategy not "viable"

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SpaceX pens $8B spectrum deal

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