AT&T, T-Mobile and Verizon finalise direct-to-device satellite spectrum joint venture

AT&T, T-Mobile and Verizon have entered into a joint venture agreement to pool spectrum resources for direct-to-device (D2D) satellite use, finalising a move first announced in May, the companies said on Thursday.

The JV aims to expand coverage in underserved areas across the US and “nearly eliminate dead zones” without mobile service, according to a Reuters report and the carriers’ joint statement. It is also designed to provide redundant connectivity during natural disasters and to improve D2D consumer services through a unified, standards-based approach.

Wireless industry veteran Paul Roth will serve as interim CEO while an active search for a permanent chief is underway. Roth previously held leadership roles at AT&T, Cingular Wireless and Ameritech. A board with representatives from each founding member will manage the venture (PRNewswire).

Some analysts see the venture as defensive against SpaceX, Reuters reported. SpaceX acquired 65 megahertz of spectrum from EchoStar for $19.6 billion through two deals announced last year, and president Gwynne Shotwell said in August the company will build infrastructure to make Starlink “a true mobile service”.

The move comes a day after the FCC moved to release more spectrum for in-home satellite broadband, with chair Brendan Carr saying next-gen satellite broadband will “enhance competition for all consumers”.

Existing satellite agreements remain in place: T-Mobile has a commercial D2D service with SpaceX, Verizon offers satellite messaging with Skylo, and AT&T and Verizon separately work with AST SpaceMobile (Mobile World Live).