According to Bloomberg, Starlink is in advanced discussions to acquire EchoStar Spectrum ($SATS), and both companies have confirmed a deal worth $17 billion.
Under the agreement, EchoStar will sell its AWS-4 and H-block licenses. The payment will include up to $8.5 billion in cash, $8.5 billion in SpaceX stock, and around $2 billion to support debt interest.
This spectrum will be used for Starlink’s Direct-to-Cell network, which will improve coverage and performance. Boost Mobile customers from EchoStar will also gain access to Starlink services through a long-term commercial agreement.
EchoStar CEO Hamid Akhavan said the deal combines EchoStar’s spectrum with SpaceX’s launch and satellite capabilities. Starlink President Gwynne Shotwell added that it will help “end mobile dead zones worldwide.”
This acquisition is expected to significantly enhance Starlink’s mobile coverage and bring high-speed connectivity to more users around the globe.
Source: Bloomberg
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