The Federal Communications Commission is moving to unlock more than 1,000 MHz of additional spectrum for satellite broadband, putting Space Exploration Technologies Corp.’s (NASDAQ:SPCX) Starlink in focus months after an April rule change eased limits on low-Earth-orbit satellite networks.
FCC Sets Sept. 30 Spectrum Vote
The FCC said its order, to be voted on Sept. 30, would open spectrum covering the 12.7 GHz and 42 GHz bands. If adopted, the rules would add capacity for home satellite broadband, in-flight and maritime connectivity, and traffic-routing functions in satellite ground networks.
FCC Chair Brendan Carr said the changes would "give a big boost to American innovation" and ensure consumers benefit from competitive high-speed internet delivered by next-generation connectivity.
More spectrum for inter-satellite links could strengthen network resilience and improve connectivity to ships, planes and vehicles, according to the FCC.
Starlink Could Benefit From New Capacity
The proposal is industry-wide, not Starlink-specific, but SpaceX is a potential beneficiary. SpaceX said in March that Starlink operated about 9,600 broadband and mobile satellites and served roughly 10.3 million subscribers across 164 markets. Starlink is also expanding in-flight connectivity, with service planned for American Airlines Group Inc. (NASDAQ:AAL) next year.
FCC Broadens Its Satellite Deregulation Push
The September move follows the FCC’s April decision to modernize decades-old spectrum-sharing rules for non-geostationary satellite systems. The agency replaced legacy power restrictions with performance-based interference protections, saying the changes could increase satellite broadband capacity by 100% to 700% using the same number of satellites and generate more than $2 billion in economic benefits.
Carr said in April the framework could "supercharge" satellite competition. The rule change was expected to benefit Starlink by allowing more intensive spectrum use while protecting geostationary systems.
The FCC is also pursuing faster satellite licensing and infrastructure approvals.
Carr said on Tuesday that the latest spectrum changes "will not only make a difference here on Earth, but also in the skies above."
SpaceX is scaling Starlink across consumer, aviation, maritime and mobile markets. Its Direct to Cell system works with existing LTE phones and partners with carriers including T-Mobile US Inc. (NASDAQ:TMUS), Rogers (NYSE:ROG) and KDDI Corp. (OTC:KDDIY).
Benzinga edge rankings indicate SpaceX’s stock has a positive price trend across the Short, Medium and Long term.
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