SpaceX spectrum deal triggers worst telco sell-off in years
What's new: Verizon fell 8.75%, T-Mobile 13.27% and AT&T 9.81% as investors priced in a new wireless rival.
U.S. telecom stocks tumbled Friday after SpaceX agreed to buy a nationwide spectrum portfolio to expand Starlink from satellite internet into mobile service. Verizon dropped 8.75%, its steepest one-day fall since 2002, while T-Mobile sank 13.27% and AT&T lost 9.81%, their worst sessions in years. SpaceX rose about 1%. The deal covers up to 14 megahertz of paired spectrum in the 800 MHz band from Grain Management. Investors viewed the purchase as a step toward a more credible terrestrial wireless network for SpaceX, adding competitive pressure on the big incumbents. The Federal Communications Commission must approve the transaction.