FCC Ends EchoStar Probe Amid $23B AT&T Spectrum Deal

The FCC has closed its investigation into EchoStar's compliance with federal obligations related to its 5G services, signaling regulatory approval of EchoStar's recent $17 billion spectrum sales to AT&T and SpaceX. EchoStar's stock surged nearly 20% following the news, although analysts remain cautious due to financial and valuation concerns. AT&T's $23 billion acquisition of EchoStar’s spectrum assets, including significant mid-band and low-band frequencies, is expected to accelerate the carrier's retirement of its copper network by 2029 and bolster its fiber and Fixed Wireless Access deployments. AT&T executives have highlighted the deal's potential for rapid spectrum deployment and cost reduction through legacy infrastructure decommissioning. However, industry voices like MobileX founder Peter Adderton warn that regulators should avoid repeating past mistakes from the Sprint–T-Mobile merger, cautioning that the deal's benefits may not necessarily translate into increased competition or consumer advantage. The ongoing regulatory scrutiny underscores the complexity of spectrum reallocation and its impact on the U.S. mobile market's competitive landscape.