AT&T buys wireless spectrum licenses from EchoStar for $23B

AT&T Makes $23 Billion Deal to Acquire Wireless Spectrum Licenses from EchoStar

AT&T has announced a major expansion of its low- and mid-band coverage networks with the acquisition of certain wireless spectrum licenses from EchoStar, an Englewood-based company. The deal, valued at $23 billion, includes licenses covering over 400 U.S. markets, which AT&T plans to deploy quickly to attract more home internet subscribers and achieve its growth targets.

In addition to the spectrum licenses, the agreement strengthens the long-term partnership between AT&T and EchoStar, allowing EchoStar to operate as a hybrid mobile network operator offering wireless service under its Boost Mobile brand. AT&T will serve as the primary network services partner for EchoStar.

Following the announcement, shares of EchoStar surged 76% at the opening bell on Tuesday. AT&T CEO John Stankey expressed excitement about the acquisition, stating, “This acquisition bolsters and expands our spectrum portfolio while enhancing customers’ 5G wireless and home internet experience in even more markets. We’re adding fuel to our winning strategy of investing in valuable wireless and broadband assets to become America’s best connectivity provider.”

AT&T has been actively working to expand its fiber broadband network to over 50 million locations by 2029, while phasing out its legacy copper network operations. The company aims to complete the modernization of its 5G wireless network by 2027, enabling faster download speeds and supporting new innovations in product and GenAI technology.

In its recent earnings report, AT&T highlighted potential cash tax savings of up to $8 billion from 2025 to 2027, thanks to tax provisions in the Republicans’ One Big Beautiful Bill Act. The company plans to reinvest $3.5 billion of these savings into its network to accelerate the deployment of fiber internet.

Following the news, shares of AT&T Inc. saw a modest increase of less than 1% on Tuesday. For more business news and updates, readers can subscribe to the Economy Now newsletter.

Originally published on August 26, 2025 at 8:48 AM MDT.