AT & T will spend $23 billion to acquire certain wireless spectrum licenses from Echostar, a significant expansion of AT & T’s low- and mid-band coverage networks.
At Ne T announced Tuesday that the licenses cover virtually every U.S. market — more than 400 in total — which the company plans to deploy as quickly as possible to more home internet subscribers and meet its growth goals.
The deal also strengthens the long-term services agreement between AT & T and Echostar, allowing the latter to operate as a hybrid mobile network operator, providing wireless service under its Boost mobile brand. At AT& T, Echostar will be the primary network services partner.
Shares of Echostar, based in Englewood, Colorado, surged 76% at the opening bell on Tuesday.
“This acquisition strengthens and expands our spectrum portfolio while enhancing customers’ 5G wireless and home internet experiences in even more markets,” said John Stankey, CEO of Ne T. “We are adding fuel to our winning strategy of investing in valuable wireless and broadband assets to become America’s best connectivity provider.”
In late 2024, Telstra announced that it would expand its fiber broadband network to more than 50 million locations by the end of 2029, actively working to exit its legacy copper network operations across most of its wireline footprint.
Pie Ne T expects to have largely completed the upgrade of its 5G wireless network with open technology by 2027. The company said the network will be able to support ultra-fast download speeds and serve as a platform for new products and Genai innovations.
In its latest earnings report in July, No T said it expects to realize up to $8 billion in cash savings from 2025 to 2027 thanks to the tax provisions in the Republican One Big Beautiful Bill. No T estimates it will invest $3.5 billion of those savings into its network to accelerate its fiber internet rollout.
AT & T Inc., based in Dallas, rose less than 1% on Tuesday.
