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The AWS-3 licenses, along with AWS-4 and H-block spectrum currently held by EchoStar, will enable SpaceX to advance its Starlink Direct to Cell satellite constellation.
The combination of AWS-3 uplink, AWS-4, and H-block spectrum from EchoStar with SpaceX's rocket launch and satellite manufacturing capabilities accelerates the realization of direct-to-cell service offerings.
The transaction between EchoStar and SpaceX will strengthen EchoStar's ability to develop new business opportunities and growth in value for its shareholders.
In August, EchoStar sold part of its nationwide wireless spectrum license to AT&T for $23 billion.
EchoStar's paid television service Dish TV, streaming television service Sling TV, wireless service Boost Mobile, and satellite-based communication service Hughes will not be affected by the contract with SpaceX.
Hamid Akhavan is the CEO of EchoStar Capital, EchoStar's newly established investment division.
SpaceX recently paid $17 billion for EchoStar’s mobile satellite service spectrum and made an additional $2.6 billion spectrum deal with EchoStar.
Current operations of EchoStar's DISH TV, Sling TV, Boost Mobile, and Hughes business will not be impacted by the spectrum sale.
The 'AWS-3' license being sold by EchoStar covers radio frequencies nationwide, supporting both mobile phone and satellite communications.
EchoStar and SpaceX intend to accelerate Starlink's ambitions in global direct-to-cell coverage and connectivity solutions.
Hamid Akhavan stated that combining EchoStar's radio frequency bands with SpaceX's rocket launch and satellite manufacturing capabilities will enable the rapid construction of a strong and affordable Direct to Cell service for Starlink.
EchoStar still owns paired AWS-3 spectrum, which is more valuable than the unpaired spectrum.
EchoStar's unpaired AWS-3 licenses are nationwide and part of 3GPP Band 70n (1695-1710 MHz uplink).
EchoStar XXVI is a Direct Broadcasting Satellite (DBS).
EchoStar contracted SpaceX to launch the EchoStar XXVI satellite in 2028.
Hamid Akhavan stated that the transaction with SpaceX will strengthen EchoStar’s ability to develop new business opportunities.
The combination of the AWS-3 uplink, AWS-4, and H-block spectrum from EchoStar with SpaceX's rocket launch and satellite manufacturing capabilities accelerates the realization of direct-to-cell service offerings.
EchoStar is forming a new entity called EchoStar Capital, focused on capital management and mergers and acquisitions.
Hamid Akhavan will lead EchoStar Capital as CEO.
EchoStar Chairman Charlie Ergen described the AWS-3 spectrum as 'orphan' spectrum more valuable in SpaceX's hands.