AT&T acquires $23 billion worth of spectrum licenses from EchoStar

AT&T is set to acquire $23 billion worth of spectrum licenses from EchoStar, the parent company of Dish Network, Sling TV and Boost Mobile. The deal will see AT&T gain control of approximately 50MHz of low-band and mid-band spectrum, which are frequencies commonly used in 5G and LTE networks.

EchoStar had been under pressure from the FCC to build out the spectrum in its portfolio or consider divesting it. The FCC's regulations take a 'use it or lose it' approach to ensure that the spectrum licenses granted by the government actually lead to real service for customers and not spectrum warehousing.

As part of the agreement, AT&T and EchoStar will add to their long-term wholesale network services agreement, allowing EchoStar to operate as a hybrid mobile network operator providing service under the Boost Mobile brand. This means Boost Mobile will begin relying primarily on AT&T's network infrastructure, though customers will still have access to the T-Mobile network. The arrangement will also ask Boost Mobile to wind down elements of its own limited cellular infrastructure.

The licenses cover more than 400 markets in the US, and the company says it intends to begin deploying these licenses as soon as possible. The acquisition is expected to close in mid-2026 and is subject to regulatory approval.

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