In October 2026, AT&T, T-Mobile and Verizon formed a satellite joint venture for U.S. dead zones. AT&T had already agreed to pay about $23 billion for roughly 50 MHz of EchoStar spectrum. The venture has disclosed no terms for sharing spectrum.

Key takeaways

  • On May 12, 2026, the FCC approved EchoStar spectrum sales of approximately 50 MHz to AT&T and 65 MHz to SpaceX.
  • AT&T agreed in August 2025 to pay about $23 billion for roughly 50 MHz of EchoStar spectrum.
  • T-Mobile made T-Satellite available as a standalone U.S. subscription for users on other carriers in July 2025.
  • AT&T’s direct-to-phone broadband agreement with AST SpaceMobile runs through 2030.
  • Verizon committed $65 million in AST SpaceMobile prepayments and $35 million in debt, as reported in May 2024.

The carriers named a CEO but no licenses

In May 2026, the three carriers signed an “agreement in principle” for a venture intended to pool spectrum resources and improve satellite capacity, The Verge reported. In October, they formally created the venture to expand U.S. satellite coverage and named Paul Roth interim CEO, Reuters reported.

The May announcement proposed a pool but named no licenses; the October announcement named Roth without identifying frequencies committed to the venture. Neither specifies whether the carriers will contribute licenses, arrange access to them or coordinate service through their existing satellite partners.

T-Mobile crossed carrier lines at retail

Samsung announced a standardized 5G non-terrestrial-network modem designed for two-way phone-to-satellite communication in 2023. The FCC approved SpaceX and T-Mobile’s Starlink arrangement for supplemental coverage in remote areas in November 2024. By July 2025, T-Mobile had made T-Satellite available to U.S. users as a standalone subscription, including people on other carriers.

T-Satellite initially supported texts and location sharing, not general mobile broadband. T-Mobile nonetheless showed that a carrier could sell satellite access to its competitors’ subscribers without merging their retail businesses. A subscription establishes who can buy service; it does not establish which carrier’s licenses a joint venture can use.

The FCC approved buyers, not a spectrum pool

AT&T agreed in August 2025 to buy roughly 50 MHz of EchoStar spectrum for about $23 billion, subject at the time to regulatory approval. On May 12, 2026, the FCC approved EchoStar’s sales of approximately 50 MHz to AT&T and 65 MHz to SpaceX, Reuters reported. The approval traces those frequencies to named buyers; the venture’s announcements do not identify AT&T’s EchoStar frequencies as shared resources or say they will carry satellite traffic.

AT&T also has a direct-to-phone broadband agreement with AST SpaceMobile running through 2030, Bloomberg reported in May 2024. That month, CNBC reported that Verizon had partnered with AST, committing $65 million in prepayments and $35 million in debt. T-Mobile commercialized its Starlink-powered service. A design using one member’s licensed frequencies across carrier lines would raise questions about who may transmit, which partner supplies satellite capacity and who handles interference complaints.

SpaceX can supply coverage and seek customers

AT&T and Verizon asked the FCC in 2024 to deny a waiver for SpaceX’s direct-to-cell service with T-Mobile, arguing it could interfere with existing networks. Their later decision to join T-Mobile in a venture does not erase that disagreement over spectrum use.

SpaceX has since agreed to acquire a low-band spectrum portfolio and said it wants Starlink to become a major U.S. mobile carrier. That is a different proposition from supplying supplemental coverage to an incumbent. SpaceX’s ambition does not prove it can deliver a terrestrial-equivalent service, but the carriers may have to negotiate with a satellite supplier that also seeks their customers.

In February 2025, Bloomberg reported that T-Mobile planned to charge AT&T and Verizon users $20 a month for satellite texting. The Wall Street Journal reported that December that AT&T had blocked T-Mobile’s Easy Switch tool twice. Selling coverage across carrier lines did not settle who would keep the customer relationship.

Frequently asked questions

What does AT&T’s $23 billion price imply on a per-MHz basis?

Using the reported figures, the transaction values the roughly 50 MHz at about $460 million per MHz. Because both the price and bandwidth are described as approximate, that is a rough comparison rather than a precise valuation.

Which satellite operator will the new venture use?

None has been named for the venture. AT&T and Verizon each have ties to AST SpaceMobile, while T-Mobile commercialized a Starlink-powered service, but the venture announcements do not assign satellite capacity to any of them.

What would a customer need to buy or activate the joint venture’s service?

That has not been disclosed. The announcements identify the three carrier owners and interim CEO Paul Roth, but not a service launch date, price, device requirements, eligibility rules or retail brand.

Does the joint venture automatically gain access to AT&T’s EchoStar spectrum?

No published announcement says that it does. The FCC approval identifies AT&T as the buyer of approximately 50 MHz, while the venture has not named licenses or described a spectrum-sharing arrangement.

Satellite and spectrum milestones

  • 2023 — Samsung announced a standardized 5G non-terrestrial-network modem for two-way phone-to-satellite communication.
  • November 2024 — The FCC approved SpaceX and T-Mobile’s Starlink arrangement for supplemental coverage in remote areas.
  • August 2025 — AT&T agreed to acquire roughly 50 MHz of EchoStar spectrum for about $23 billion.
  • May 12, 2026 — The FCC approved EchoStar spectrum sales of approximately 50 MHz to AT&T and 65 MHz to SpaceX.
  • October 2, 2026 — AT&T, T-Mobile and Verizon formed their satellite-coverage joint venture and appointed Paul Roth interim CEO.

The $23 billion agreement prices roughly 50 MHz for AT&T. Nothing published by the venture says a Verizon or T-Mobile subscriber can use those frequencies from space.