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AT&T, T-Mobile, and Verizon tumble after rumored SpaceX move

SpaceX wants to lease cell sites for Starlink Mobile.

By Anam Hamid

Published: Oct 22, 2026, 6:00 PM

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The fourth carrier is taking shape. | Image by PhoneArena

SpaceX is on a roll. After recently scooping up three AWS-3 licenses from Tristar, the company is reportedly in talks to lease space at 80,000 cell sites for Starlink Mobile. The company reiterated its vision of a hybrid mobile network during its Q3 earnings call.

Marching ahead

SpaceX intends to have access to at least 80,000 cell sites across the US, per Bloomberg. The company is believed to be negotiating with Crown Castle, one of the largest owners of cellular towers.

Crown Castle CEO Chris Hillabrant didn't outright shoot down the rumor when asked if he was discussing leases with satellite operators. He didn't confirm that the company is in talks with SpaceX, though he did call SpaceX's purchase of low-band spectrum a "huge milestone" for providing mobile coverage.

The total value of the tower deals with SpaceX could amount to billions. Telecom operators place antennas on towers to transmit signals. Instead of owning and maintaining tower sites, they usually rent space for equipment. The same structures are often shared by multiple carriers.

You can assume that we’re talking to all parties

Chris Hillabrant , Crown Castle CEO, October 2026

Why does the US need a fourth carrier?

5 Votes

One more piece of the puzzle

So far, SpaceX has been purchasing spectrum and planning the launches of its more capable next-gen V2 satellites. Tower sites are an important part of the equation, as satellites cannot reliably beam connectivity everywhere. SpaceX would need terrestrial components in densely populated areas to ensure signals reach indoors.

Even though President Gwynne Shotwell says that 85%-93% of mobile connectivity is carried over Wi-Fi, that still doesn't mean that integrating femtocells into Starlink dishes would be enough. Telecom analyst Dean Bubley points out that the figure doesn't reflect real-world smartphone use outside the home. Wi-Fi networks generally require passwords, and their coverage is inconsistent.

The explicit Wi-Fi reference is important, but still misses critical details about authentication and federation. Shotwell's reference to 85–93% Wi-Fi usage deserves scrutiny. While it is true at a top level, it does not describe real-world smartphone use outside the home, where Wi-Fi often needs cumbersome captive portals and passwords - and millions of different administrators.

Dean Bubley, telecom analyst, October 2026

Many saw this coming

Bernstein analysts saw the purchase of 14 MHz of low-band spectrum in the 800 MHz band from Grain Management as a sign that SpaceX would lease space on towers. Since low-band spectrum travels farther, it reduces the number of cell sites SpaceX needs. Crown Castle, American Tower, and SBA Communications all rose after that announcement, while AT&T, T-Mobile, and Verizon took a beating.

After the latest Bloomberg's report, AT&T, T-Mobile, and Verizon all slid around 5%.

The fourth carrier

The Big Three have settled into an oligopolistic structure with little incentive to disrupt the market or compete on price. Starlink Mobile might revive the competitive spirit.

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Anam Hamid is a computer scientist turned tech journalist who has a keen interest in the tech world, with a particular focus on smartphones and tablets. She has previously written for Android Headlines and has also been a ghostwriter for several tech and car publications. Anam is not a tech hoarder and believes in using her gadgets for as long as possible. She is concerned about smartphone addiction and its impact on future generations, but she also appreciates the convenience that phones have brought into our lives. Anam is excited about technological advancements like folding screens and under-display sensors, and she often wonders about the future of technology. She values the overall experience of a device more than its individual specs and admires companies that deliver durable, high-quality products. In her free time, Anam enjoys reading, scrolling through Reddit and Instagram, and occasionally refreshing her programming skills through tutorials.

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