SpaceX announced Thursday that it has reached an agreement to acquire a nationwide portfolio of low-band spectrum licenses, a major step toward turning Starlink Mobile into a major wireless carrier in the United States.

The deal will give SpaceX access to spectrum in the 800 MHz band, which can help wireless signals travel longer distances and penetrate obstacles such as walls and buildings. The agreement is subject to approval by the Federal Communications Commission (FCC). Financial terms were not disclosed.

The announcement also rattled the wireless industry, with shares of major carriers AT&T, Verizon and T-Mobile tumbling Friday amid concerns about increased competition from Starlink Mobile. The market reaction reflects investor concerns that a new competitor could put pressure on established carriers and potentially lead to lower prices for consumers.

SpaceX said the new spectrum, combined with its next-generation Starlink satellite constellation, will allow Starlink Mobile to provide high-speed mobile broadband across the country, including areas with limited or no traditional cellular coverage.

Unlike conventional wireless carriers that rely primarily on networks of cell towers, Starlink Mobile aims to combine satellite connectivity with ground-based wireless service to provide coverage both indoors and outdoors.

The company said the new spectrum will complement its existing mobile satellite capabilities, helping it expand beyond its current satellite internet business and compete more directly with established carriers such as Verizon, AT&T and T-Mobile.

The acquisition marks another major step in SpaceX’s push to expand Starlink into the mobile communications market, with the goal of keeping Americans connected even in areas where traditional cellular networks struggle to provide service. Increased competition could eventually lead to lower cell phone bills, although actual savings will depend on Starlink Mobile’s pricing and rollout.