Verizon Communications Inc

Verizon shares fell 6% in pre-market trading after SpaceX agreed to acquire private equity firm Grain Management's nationwide 800 MHz spectrum portfolio, stoking investor concerns over emerging satellite-to-cellular competition. Grain Management said in a press release that the deal covers 100% of its nationwide 800 MHz holdings, supplying up to 14 MHz of paired low-band airwaves pending Federal Communications Commission clearance. SpaceX Chief Executive Elon Musk called the agreement a very big deal that secures the spectrum required to achieve complete phone coverage across the United States without requiring specialized handsets. TD Cowen analyst John Blackledge characterized the transaction as a warning to legacy carriers that intensifies pressure to negotiate roaming partnerships, while William Blair analysts noted that established operators remain vocal skeptics of whether orbital networks can match terrestrial quality. Verizon trades on stable postpaid subscriber additions, average revenue per account growth, and the cash generation needed to service substantial debt and protect its dividend yield, and even though 14 MHz of low-band spectrum lacks the throughput to replace urban cell grids, the prospect of a nationwide direct-to-device alternative limits the multiple investors will pay for legacy cellular franchises.

SpaceX is closing in on a crucial swath of spectrum needed to turn the rocket, satellite and AI company into a "major mobile carrier," setting the stage for a clash with stalwarts like T-Mobile US Inc., Verizon Communications Inc. and AT&T Inc. Once the company receives approval from the Federal Communications Commission, it will combine its satellite-to-cell services with a terrestrial network that can connect devices everywhere. The development comes as SpaceX investors are finally getting some reprieve after months of being whipsawed by volatility, with the Elon Musk-led company's stock breaking above the level it's been stuck below since July.

Delta Air Lines shares fell about 5% in premarket trading after the carrier reported September-quarter adjusted earnings of $1.72 per share, missing the $1.82 consensus estimate, and lowered its full-year profit outlook to about $5.35 per share. Adjusted revenue rose 16% to $17.59 billion but came in slightly below expectations, with Delta citing elevated fuel costs that surged 62% to $4.14 billion in the quarter; the airline absorbed more than $500 million in additional fuel costs versus its early July guidance and expects $6 billion in higher fuel expenses for the full year. Tesla shares gained about 3.6% after China Passenger Car Association data showed deliveries of Model 3 and Model Y vehicles from its Shanghai factory rose 5% year-over-year to 95,366 units in September, extending its streak of annual sales gains to 11 consecutive months, while third-quarter shipments of Shanghai-built vehicles grew 13.7% even as global deliveries declined 2.1%. Apple shares fell about 2.6% in premarket trading on reports it cut component orders for some iPhone 18 Pro models after weaker-than-expected demand, and telecom stocks dropped sharply after SpaceX agreed to acquire a nationwide low-band spectrum license, with AT&T down 8%, Verizon Communications down 7.8%, and T-Mobile US down 7.6%, while SpaceX shares rose 4.3%. Ambarella shares rose 5.3% following reports that Qualcomm may be working with advisers on a possible deal to acquire the chip designer, speculation circulated via a Betaville alert that follows prior reports Ambarella is in advanced talks with potential buyers including NXP Semiconductors. Wall Street regained some momentum on Friday, with the S&P 500 up 0.4%, the Dow up 0.6%, and the Nasdaq Composite up 0.5%.

Humana shares surged 13% after the Centers for Medicare & Medicaid Services upgraded its primary Medicare Advantage contract, designated H5216, to four stars for 2027, restoring eligibility for quality bonus payments across roughly 2.4 million members. Kopin rose 4% on an $18.6 million sole-source U.S. Army contract for MicroLED microdisplay work, bringing total program funding to $34 million. SpaceX gained 2% after an $8 billion cash deal with Grain Management for up to 14 MHz of nationwide 800 MHz low-band spectrum, a move that sent T-Mobile US, Verizon Communications and AT&T each down more than 6%. On the losing side, Alignment Healthcare tumbled 18% after its primary California contract fell to 3.5 stars, while Delta Air Lines fell 2% on September-quarter adjusted EPS of $1.72 versus the $1.82 consensus and a lowered full-year outlook, with adjusted fuel expense up 62% to $4.14 billion. Apple slipped 2% after Nikkei Asia reported it cut October component orders for the iPhone 18 Pro and iPhone 18 Pro Max by 15% to 20%.

Delta Air Lines missed third quarter revenue and adjusted earnings estimates, with its quarterly fuel bill hitting $4.1 billion, up 62% from a year ago, prompting the carrier to cut its full-year EPS and cash flow guidance. CEO Ed Bastian told reporters the full impact of the guidance cut was "all fuel," with the annual fuel bill now seen at $6 billion, and Delta projects fourth quarter fuel costs of 4250 cents a gallon, roughly a dollar more than this quarter, though it expects its refinery benefit to more than double to 40 cents a gallon. Delta is the only major US airline that still operates a refinery, which gave it a 13 cent per gallon benefit this quarter against an adjusted fuel price of 361 cents a gallon. Separately, Bloomberg reported that OpenAI expects to reach or exceed $70 billion in annualized revenue by year end, up from approximately $50 billion at the end of September, though the Financial Times reported the figure is likely to be closer to $50 billion, a discrepancy driven by how OpenAI and Anthropic count cloud partner revenue. Anthropic also updated its terms to add a prohibition on sustained and needless abusive or cruel behavior toward its models, meaning users can express frustration but Claude will end a conversation if they are too mean. SpaceX's purchase of a swath of low-band spectrum, aimed at a future terrestrial direct-to-cell network with a presumed target of early 2028 service, sent AT&T, Verizon and T-Mobile shares sharply lower, though JPMorgan said it sees limited near-term risk for US wireless incumbents given the time, infrastructure and capital required to build a competitive network. Nikkei reported that Apple has told some suppliers to cut October component production for the iPhone 18 Pro and Pro Max by at least 15% versus initial requests, with one source describing 15% to 20% cuts for both premium models, after higher memory chip costs pushed prices to $1199 and $1299, each $100 above the preceding models.

Delta Air Lines reported weaker-than-expected third-quarter results and cut its full-year earnings outlook, sending its shares down 4% premarket. The airline earned an adjusted $1.72 per share on revenue of $17.59 billion, below the $1.75 per share and $17.67 billion analysts polled by LSEG had expected, with the company citing higher fuel costs. SpaceX shares rose 4% after Grain Management announced an agreement to sell its nationwide 800 megahertz spectrum portfolio to SpaceX, a move expected to bolster Starlink Mobile's capabilities. The spectrum announcement sent telecom providers lower, with T-Mobile down 7%, AT&T nearly 6% lower and Verizon off more than 5%, while tower stocks American Tower and Crown Castle gained 6% and almost 8% respectively. Humana surged 14% after its largest Medicare Advantage contract saw its rating improve under the Centers for Medicare & Medicaid Services' 2027 Star Ratings, while Alignment Healthcare cratered 23%. Apple fell more than 2% after Nikkei Asia reported the company was cutting component orders for its iPhone 18 Pro, with October production orders for that device and the iPhone 18 Pro Max cut by 15% from original plans.

Apple has asked some suppliers to reduce component production for its iPhone 18 Pro and Pro Max models, with October component orders cut by at least 15% from initial requests and demand for both premium models reportedly down 15%-20%, according to Nikkei Asia. Higher memory chip costs and resulting price increases have weighed on consumer demand, potentially affecting suppliers including Taiwan Semiconductor Manufacturing, Qualcomm, and Broadcom. Separately, SpaceX is set to acquire a portfolio of low-band wireless spectrum licenses from private-equity firm Grain Management for approximately $8B in cash, The Wall Street Journal reported, in a deal covering up to 14 megahertz of paired spectrum in the 800 MHz band; shares of T-Mobile, Verizon, and AT&T fell about 6% in after-hours trading as investors assessed the competitive implications. Nvidia-backed Firmus Grid is discussing a private funding round of $2B-$3B after dropping plans for a roughly $5B IPO that would have valued the Australian data center company at $30B, Bloomberg reported, with Nvidia possibly participating. India criticized the Trump administration's suspension of the Permanent Labor Certification program, saying the decision conflicts with the shared ambitions of the two countries, after the U.S. suspended multiple companies from using the system as Vice President JD Vance called for technology companies to hire more American workers and alleged widespread fraud in the H-1B visa program. President Donald Trump purchased between $1M and $5M in SpaceX bonds on August 18, according to a financial disclosure released Thursday; the senior unsecured notes carry a 5.35% interest rate and mature in July 2031, and two days later Trump signed a national space transportation policy aimed at facilitating more than 1,000 U.S. launches and reentries annually by 2030.

SpaceX's $8B deal to buy a nationwide low-band spectrum portfolio from Grain Management for Starlink sparked a sudden selloff in major telecom stocks. T-Mobile US fell roughly 6% after hours following the Starlink Mobile announcement, yet it remains a top-rated Buy with a quant score of 4.42 out of 5, alongside ATN International at 4.70 and VEON Ltd. at 4.69. Domestic giants Verizon and AT&T both hold neutral Hold ratings, with quant scores of 3.48 and 3.45 respectively. Other Buy-rated names include Telecom Argentina at 4.48, Millicom International Cellular at 3.90, Orange at 3.73, Liberty Latin America at 3.72, América Móvil at 3.61, and KT Corporation at 3.54, while Anterix sits at Hold with a score of 3.48.

Yuanta Securities (Thailand) Company Limited stated that SpaceX has announced the acquisition of 800 MHz spectrum from Grain Management to expand its Starlink Mobile service into the terrestrial market, with the transaction still pending approval from the US Federal Communications Commission, or FCC. This move carries significance for the telecommunications industry, because Satellite Mobile services still have limitations in providing indoor coverage compared with the networks of mobile phone operators. Access to terrestrial spectrum could therefore help enhance Starlink Mobile's competitiveness in the long term. The market reacted negatively to the news, with shares of AT&T, T-Mobile and Verizon falling roughly 6–7% in after-hours trading, reflecting concerns that the entry of a new player could increase competitive pressure and affect the valuation levels of the telecommunications business. As for the impact on Thailand, Yuanta Securities assesses that in the short term it remains limited and does not yet affect the fundamentals of Advanced Info Service Public Company Limited, or ADVANC, and True Corporation Public Company Limited, or TRUE, because Starlink must still go through the relevant licensing procedures before it can provide services in Thailand, particularly obtaining Landing Rights for low Earth orbit, or LEO, satellite services. And if Starlink wants to expand its services into the Mobile business to compete directly with domestic operators through the use of terrestrial spectrum, it would still need to consider Thailand's licensing and spectrum allocation framework, or may have to join spectrum auctions opened by the National Broadcasting and Telecommunications Commission, which are not held frequently and represent a major obstacle to entering direct competition in the Thai market. However, Yuanta Securities views that the risk worth monitoring in the medium term lies in share valuation levels, or multiples, rather than the direct impact on operating results. Although at present the impact on the profits of Thai telecommunications operators is not yet clear, if overseas markets lower the valuation of telecommunications stocks out of concern over competition from Starlink Mobile, there is a chance that the multiples of ADVANC and TRUE will also be pressured in line with the group's sentiment. Therefore, Yuanta Securities assesses that the short-term risk to the earnings forecasts of ADVANC and TRUE remains limited, while in the medium term the valuation risk should be monitored, along with regulatory developments that could pave the way for Starlink to expand its services into the Thai market going forward.

West Texas crude futures for November delivery closed at 91.49 dollars per barrel, up 3.21 dollars, or 3.6%, while North Sea Brent crude futures for December delivery closed at 104.28 dollars per barrel, up 4.08 dollars, or 4.1%. Oil prices ended the session up about 4% after concerns about war in the Middle East flared up again and the risk of supply disruption rose sharply from Hurricane Isaias, which is moving toward the U.S. Gulf Coast. At one point during trading, both crude contracts rose by more than 5 dollars per barrel before pulling back after President Donald Trump said talks with Iran had made progress and confirmed he would not attack Iran until after the U.S. midterm elections on Nov. 3. Iran's Tasnim news agency reported that Iranian Foreign Minister Abbas Araghchi said Tehran is considering the U.S. response to Iran's proposal to open the Strait of Hormuz within 7 days, and that Iran may reply within a few days. Meanwhile, Elon Musk's SpaceX said it has acquired low-band spectrum, which will allow its Starlink satellites to offer mobile phone service and make it a major mobile network operator in the United States, sending shares of incumbent mobile carriers down by as much as 8%. AT&T fell 7.3%, while T-Mobile US and Verizon Communications dropped 6.6% as of 5:00 p.m. New York time, while SpaceX shares rose 1.5% in after-hours trading. Singapore bank shares came under heavier selling after JPMorgan Chase & Co. warned that surging long-term bond yields will hit regional banks' third-quarter profits, with DBS Group and Oversea-Chinese Banking Corp. falling more than 4%, while United Overseas Bank dropped 5.2%.

Cricket Wireless, owned by AT&T, has entered the broadband market with the launch of Cricket 5G Home Internet, a fixed wireless service that went live on Sept. 16. The plan costs $65 per month, or $75 per month when bundled with Cricket Wireless for new customers, while existing Cricket Wireless customers can add it for $45 per month with the $5 autopay discount activated. The service runs on AT&T's network and offers unlimited data with typical download speeds of 90-300 Mbps, upload speeds of 8-30 Mbps, and latency of 30-65 milliseconds, with no installation appointments required. The launch comes as T-Mobile and Verizon have been gaining broadband customers, with T-Mobile reportedly adding roughly 520,000 broadband customers in the second quarter of 2026 and Verizon gaining about 348,000 internet customers during the quarter. Cricket joins a broader push for affordable internet, following AT&T's OneConnect plan at $90 per month, T-Mobile's refreshed fiber offerings starting at $45 per month, and Verizon's One plan at $70 per month.

Wells Fargo analyst Steven Cahall said on a September 8 CNBC segment that SpaceX's satellite-plus-spectrum wireless push will hurt incumbent carriers while tower REITs and cable operators quietly profit, arguing the architecture needs far less ground infrastructure than a traditional fourth carrier. The FCC has cleared SpaceX to absorb 65 MHz of EchoStar's U.S. spectrum, which management plans to integrate later next year, and Starlink subscribers doubled year over year to 12.0 million as of Q2 2026. SpaceX's Q2 connectivity revenue reached $4.29 billion, up 66% year over year, on total Q2 revenue of $7.81 billion, $3.54 billion of adjusted EBITDA and a $93.5 billion cash position. Cahall named towers and a Wi-Fi offload MVNO with cable as the potential sector winners, noting Crown Castle yields around 5.5% after its fiber divestiture while AT&T contributes 28% of site rental revenue, and Charter's Spectrum Mobile added 406,000 lines with mobile service revenue up 18.9% year over year to $1.095 billion. The thesis carries a real hole: if SpaceX routes around U.S. towers entirely with its own rooftop equipment, the tower leasing bump never lands, and Crown Castle has said only that its sites offer space, power and backhaul with no signed agreement yet. T-Mobile is seen as most exposed because its Direct-to-Cell partnership loses differentiation once SpaceX controls its own spectrum, with TMUS shares down 23.18% over the past year, while Verizon's fixed wireless net additions fell 30.6% year over year.

VoIP-Pal.com Inc. has filed its Third Amended Complaint in its federal antitrust action against AT&T Inc., Verizon Communications Inc., and T-Mobile US, Inc., in the United States District Court for the District of Columbia. The amended pleading, filed on September 4, 2026, follows a court ruling that allowed the company to streamline its claims. It asserts four causes of action under the Sherman Act, including unlawful tying, unreasonable restraint of trade, monopolization, and predatory pricing, alleging that the carriers condition access to Wi-Fi calling on the purchase of their retail cellular plans, thereby foreclosing the market for standalone Wi-Fi calling. CEO Emil Malak discussed the case in a CEOCFO Magazine article published today, expressing satisfaction with the revised complaint.