Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesStocksEarnInstitutionAI & More
Updated: SpaceX spectrum trading triggers industry shock, US and European telecom stocks decline

Updated: SpaceX spectrum trading triggers industry shock, US and European telecom stocks decline

路透社路透社2026/10/09 11:47
Show original

In early trading of the S&P 500 index components, T-Mobile and Verizon led the declines as the European telecom sector fell to its lowest point since January. According to an updated report with stock price data and charts by Rashika Singh from Reuters on October 9, U.S. and European telecom stocks dropped sharply on Friday amid growing concerns about intensified competition in satellite mobile services after SpaceX’s acquisition of low-band spectrum. T-Mobile US, Verizon, and AT&T saw pre-market losses ranging from 5.5% to 7.4%, while the STOXX Europe 600 Telecommunications Index fell over 2% to its lowest level since January 30. Among the largest European telecom operators by market value, Deutsche Telekom dropped 6.5%, Vodafone decreased by 4.1%, Orange fell by 2.3%, and Telefónica dipped 3.9%. The stock declines followed reports (link) that SpaceX agreed to acquire a nationwide 800 MHz spectrum portfolio from private equity firm Grain Management for approximately $8 billion. This move bolsters SpaceX’s ambitions in satellite-to-cellular network connectivity. Analysts at Morgan Stanley commented, “We believe the Grain deal clearly indicates that SpaceX will pursue a more aggressive approach in spectrum acquisitions,” adding that any threat to existing operators would likely emerge gradually, starting with rural markets. Compared to higher-frequency radio waves, low-band spectrum travels longer distances and more effectively penetrates buildings and obstacles, which may facilitate SpaceX in advancing its Starlink Mobile service. Although financial terms were not disclosed by the parties, The Wall Street Journal cited sources valuing the deal at $8 billion. SpaceX shares rose 4% following the announcement, though the transaction is still subject to regulatory approval. [Chart link: https://www.reuters.com/graphics/BRV-BRV/lbvgxnzxepq/chart.png] Communications tower stocks bucked the sector-wide sell-off, as investors bet that SpaceX’s wireless ambitions would ultimately drive demand for more ground infrastructure. American Tower, Crown Castle, and SBA Communications saw gains between 6.7% and 8.3%. Morgan Stanley noted the deal is a “marginal positive” for communications tower operators, pointing out that even satellite-dominated networks may require the deployment of towers, rooftop and small cell sites, and that broader urban competition would necessitate substantial ground-based infrastructure and spectrum resources. (Reuters provides automated translations of its reports in several other languages for the benefit of non-English readers. Automated translations may be inaccurate or lack necessary context, and Reuters does not guarantee the accuracy of translated texts. Automated translations are provided for convenience only, and Reuters is not liable for any damage or loss caused by the use of automated translation services.)

Among S&P 500 index constituents in early trading, T-Mobile and Verizon saw the largest declines

European telecom sector fell to its lowest point since January

Full text updated with stock price data and added charts

Rashika Singh

- On Friday, as SpaceX acquired low-band spectrum, concerns over intensifying competition in satellite mobile services grew, leading to a significant sell-off in US and European telecom stocks.

T-Mobile US TMUS.O, Verizon VZ.N, and AT&T T.N saw declines between 5.5% and 7.4% in pre-market trading, while the STOXX Europe 600 Telecom Index .SXKP dropped over 2%, reaching its lowest since January 30.

Europe’s largest telecom operator by market value, Deutsche Telekom (DTEGn.DE), fell 6.5%, Vodafone (VOD.L) in the UK declined 4.1%, Orange (ORAN.PA) in France dropped 2.3%, and Telefónica (TEF.MC) in Spain slipped 3.9%.

The share price declines stem from (link) reporting that SpaceX has agreed to acquire a nationwide 800 MHz spectrum portfolio held by private equity firm Grain Management for about $8 billion, boosting the company’s ambitions in satellite-to-cellular network connectivity.

Morgan Stanley analysts said in a report: “We believe the Grain deal clearly demonstrates that SpaceX will take a more aggressive stance in spectrum acquisition.” They added that any threat to current operators is likely to unfold gradually, starting in rural markets.

Compared to high-frequency radio waves, low-band spectrum travels longer distances and can penetrate buildings and other obstacles more effectively—enabling SpaceX to advance its Starlink Mobile service.

Although neither party disclosed financial terms, The Wall Street Journal cited sources valuing the deal at $8 billion.

Following the acquisition announcement, SpaceX shares rose 4%. The deal still requires regulatory approval.

https://www.reuters.com/graphics/BRV-BRV/lbvgxnzxepq/chart.png


Cell tower stocks buck the trend

Telecom tower operators moved against the broader industry selloff, as investors bet on SpaceX’s wireless ambitions ultimately increasing demand for more ground infrastructure.

American Tower (AMT.N), Crown Castle (CCI.N), and SBA Communications (SBAC.O) all saw gains of between 6.7% and 8.3%.

Morgan Stanley said the deal is “incrementally positive” for cell tower operators, noting that even satellite-focused networks could require deployments of towers, rooftop base stations, and small cells. Broader urban competition would need substantial terrestrial infrastructure and spectrum resources.



(For the convenience of non-native English speakers, Reuters automatically translates its reports into several other languages. Because automated translations may contain errors or lack the necessary context, Reuters does not guarantee the accuracy of automated translated texts and provides them only for readers’ convenience. Reuters accepts no liability for any damages or losses arising from the use of automated translation services.)

0
0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

Understand the market, then trade.
Bitget offers one-stop trading for cryptocurrencies, stocks, and gold.
Trade now!

You may also like

BUZZ-US mobile base station operators' share prices soar after SpaceX acquires spectrum

On Friday, after SpaceX's SPCX.O completed a nationwide acquisition of low-frequency spectrum, shares of U.S. mobile tower operators surged, enabling Elon Musk's Starlink Mobile to challenge traditional wireless giants. Crown Castle (CCI.N) jumped 11.2% to $76.61, on track for its largest single-day gain since March 2020. American Tower (AMT.N) rose 7% to $178.34, poised for its biggest increase in two years, while SBA Communications (SBAC.O) climbed 6.2% to $180.58. Tower stocks rallied as investors bet SPCX’s ambitions in wireless service could drive new demand for terrestrial infrastructure, leading to sharp declines in the shares of telecom giants AT&T (T.N), Verizon (VZ.N), and T-Mobile US (TMUS.O). JPMorgan said the deal was “incrementally positive” for tower operators, noting it could require deploying towers, rooftop sites, and small cells, while broader urban competition would call for a significant boost in terrestrial infrastructure and spectrum. Amid these developments, CCI is down about 14% year-to-date, SBAC is down roughly 6.5%, and AMT is up nearly 2% in 2026. By comparison, the S&P 500 Real Estate Investment Trusts Index (.SPLRCREC) has gained about 6% so far this year.

路透社•2026/10/09 14:36

TSMC's Q3 Revenue Represents a Slightly Larger-Than-Typical Beat, Wedbush Says

10:36 AM EDT, 10/09/2026 (MT Newswires) -- Taiwan Semiconductor Manufacturing's (TSM) Q3 revenue of NT$1.494 trillion ($46.77 billion) represented a roughly 3% beat versus the brokerage's prior estimate and consensus, compared with a 1% beat in the previous quarter, Wedbush said in a Friday note. With revenue ahead of the range, Wedbush expects the quarterly gross margin to at least meet the 66% midpoint of TSMC's 65% to 67% guidance and is more likely to exceed its 66.0% estimate given better utilization rates, according to the research note. Looking ahead, Wedbush expects Q4 sales of NT$1.599 trillion and sales growth of 41% in US dollars or 43% in Taiwanese dollars. Additionally, its gross margin estimate of 65.3% sits below the consensus estimate of 66.1%, with Wedbush saying it would not be surprised if Q4 gross-margin guidance ticks modestly lower on account of headwinds the chipmaker has previously mentioned. Wedbush maintained its outperform rating with an NT$3,000 price target. Price: 453.01, Change: -4.98, Percent Change: -1.09

MT newswire•2026/10/09 14:36