TLDR
- EchoStar is selling AWS-3 spectrum licenses to SpaceX for $2.6 billion in SpaceX stock
- The deal covers wireless spectrum in the 1695-1710 MHz range across the United States
- This transaction expands on a $17 billion deal between the companies from September
- SpaceX will use the spectrum for its Starlink Direct to Cell satellite constellation
- EchoStar’s current services including DISH TV, Sling TV, Boost Mobile, and Hughes will not be affected
EchoStar Corporation announced Thursday it will sell its nationwide AWS-3 spectrum licenses to SpaceX for approximately $2.6 billion. The payment will come in the form of SpaceX stock rather than cash.
SPACEX BUYS THE SKY – $2.6B AT A TIME
SpaceX just dropped $2.6 billion on EchoStar’s AWS-3 spectrum rights – prime wireless real estate across the U.S.
The move expands Starlink’s reach and, more quietly, Elon’s chokehold on the future of global connectivity. Internet… https://t.co/5N6w4GR6WU pic.twitter.com/t0dIy6ziqW
— Mario Nawfal (@MarioNawfal) November 6, 2025
The deal marks the second major transaction between the two companies in recent months. Back in September, EchoStar and SpaceX struck a $17 billion agreement involving other spectrum assets.
The AWS-3 licenses cover the 1695-1710 MHz uplink range. This spectrum falls within 3GPP Band 70n specifications.
These airwaves can support both mobile and satellite communications across the United States. SpaceX plans to use them for its Starlink Direct to Cell constellation.
The space company already acquired AWS-4 and H-block spectrum licenses from EchoStar in the earlier September deal. The new AWS-3 licenses will complement those existing assets.
What SpaceX Plans to Do
SpaceX is building out its next-generation satellite network. The company aims to provide direct connectivity to standard mobile phones without special equipment.
The spectrum licenses give SpaceX the regulatory rights to use these specific radio frequencies. These frequencies are essential for two-way communication between satellites and ground devices.
Starlink Direct to Cell represents a major expansion of SpaceX’s existing internet service. The technology could allow regular smartphones to connect to satellites in areas without traditional cell coverage.
Financial Details and Timing
EchoStar will receive approximately $2.6 billion worth of SpaceX equity. The company currently carries a market cap of $20.8 billion.
The satellite and wireless provider also manages over $30 billion in debt. EchoStar’s stock has risen 202% over the past six months despite ongoing profitability challenges.
Hamid Akhavan, CEO of EchoStar Capital, said the transaction will strengthen the company’s ability to develop new business opportunities. He added it should create value for shareholders.
The deal still requires regulatory approval before it can close. Other standard closing conditions must also be met.
The exact timeline for completion was not disclosed in the announcement.
EchoStar confirmed its current operations will continue unchanged. DISH TV, Sling TV, Boost Mobile, and Hughes services will not be affected by the spectrum sale.
The transaction represents another step in SpaceX’s strategy to expand its telecommunications infrastructure. The company continues to add wireless assets to support its satellite-based mobile connectivity plans.
The post EchoStar (SATS) Stock: Company Sells AWS-3 Spectrum Licenses to SpaceX for $2.6 Billion appeared first on Blockonomi.
This articles is written by : Nermeen Nabil Khear Abdelmalak
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