SpaceX to buy cellular spectrum licenses from Grain Management
SpaceX agreed to buy U.S. cellular spectrum licenses from Grain Management, with about 800 MHz licenses targeted for tower-based wireless service, pending FCC approval.
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09:57:41 PM UTC
SquawkNews
By Al Root SpaceX announced a wireless spectrum acquisition late Thursday, stoking fears of wireless telecom disruption and sending shares of AT&T and its peers lower. The agreement, with Grain Management, would give SpaceX a nationwide low-band spectrum license portfolio of up to 14 megahertz of paired spectrum in the 800 MHz band. "This prime low-band spectrum addresses one of the key remaining technical gaps that will pave the way for Starlink Mobile to become a major mobile carrier in the U.S.," said the company in a news release. That's competition for the traditional industry. AT&T stock was down 7% in after-hours trading. Verizon Communications and T-Mobile shares were both off about 6.6%. Shares of wireless infrastructure provider Crown Castle and American Tower, however, were up almost 9% and 6%, respectively. It appears that SpaceX needs terrestrial infrastructure, too. "Starlink Mobile's flexible, hybrid architecture will leverage both terrestrial and satellite technology to ensure all Americans have high-speed mobile broadband," reads part of the agreement. Grain Management has historical relationships with wireless tower providers. The deal is significant for the wireless industry. SpaceX isn't content to only offer broadband service. It appears to want to control the phone, too. Spectrum assets are becoming more valuable as space-based communications options proliferate. Spectrum is a finite resource. Just as two radio stations in an area can't broadcast on the same frequency, wireless data providers need their own spectrum to avoid running into one another. Comcast stock was down 1.9% in after-hours trading. Cable companies also offer wireless service, partly to offset losses in their broadband business to wireless companies that offer internet to the home. The wireless industry is changing -- with SpaceX at the heart of the disruption. Write to Al Root at allen.root@barrons.com. This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal. (END) Dow Jones Newswires October 08, 2026 17:53 ET (21:53 GMT) Copyright (c) 2026 Dow Jones & Company, Inc. The statements in this document shall not be considered as an objective or independent explanation of the matters. Please note that this document (a) has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and (b) is not subject to any prohibition on dealing ahead of the dissemination or publication of investment research.
09:58:39 PM UTC
SquawkNews
By Ed Carson Dow Jones futures were little changed after hours, along with S&P 500 futures and Nasdaq futures. Delta Air Lines reports earnings before the open, kicking off results for airlines and travel plays. Space Exploration Technologies, or SpaceX, plans to buy significant wireless spectrum, bolstering its Starlink service. The news slammed shares of wireless giants Verizon Communications, AT&T and T-Mobile US in after-hours action, while also hitting AST SpaceMobile. The stock market retreated Thursday, with the Nasdaq skidding as OpenAI news raised AI concerns. But much of the market held its ground as Treasury yields reversed lower and oil prices came off intraday highs. Apple and GigaCloud Technology are in buy areas while Snowflake, GE Vernova and Dell Technologies are pausing bullishly. Quanta Services, Comfort Systems and Credo Technology are pausing bullishly. GigaCloud and Snowflake stock are on the IBD 50. GigaCloud was Thursday's IBD Stock Of The Day. The video embedded in the article reviews Thursday's market action and analyzes GigaCloud Technology, Snowflake and GE Vernova stock. DOW JONES FUTURES TODAY Dow Jones futures and S&P 500 futures were little changed. Nasdaq-100 futures climbed 0.1%. Remember that overnight action in Dow futures and elsewhere doesn't necessarily translate into actual trading in the next regular stock market session. Join IBD experts as they analyze leading stocks and the market on IBD Live SPACEX BUYS WIRELESS SPECTRUM SpaceX will buy wireless spectrum from Grain Management, subject to regulatory approval. That will help SpaceX's Starlink into greater competition vs. Verizon Communications, AT&T and T-Mobile US. SpaceX stock rose slightly late after falling 4.2% in Thursday's session, still above an aggressive entry. Verizon stock fell about 7% in overnight action. So did AT&T stock and T-Mobile. AST SpaceMobile fell modestly. STOCK MARKET RALLY The stock market rally saw a reversal of recent trends. The Nasdaq suffered sharp afternoon losses after the Financial Times reported that OpenAI recently told investors it sees annualized revenue at $50 billion ---- far less than prior reports of $70 billion. That higher figure apparently reflected inaccurate investor assumptions. Still, the lower $50 billion figure raised concerns about the strength of AI demand and thus the sustainability of massive AI spending. Separately, Nvidia-backed Firmus reportedly suspended its IPO after the Australian data center play saw weak demand. Meanwhile, much of the rest of the market rose or at least held its ground as oil prices pared big gains and Treasury yields reversed lower. The Dow Jones Industrial Average rose 0.1% in Thursday's stock market trading. The S&P 500 index fell 0.5%. The Nasdaq composite tumbled 1.25%, though it came off session lows. The small-cap Russell 2000 edged higher, holding its 200-day line after skidding in morning trade. The Invesco S&P 500 Equal Weight ETF gained 0.6%,