The US telecommunications sector was heavily hit, FCC chairman praised: this is a healthy signal of fierce competition.

Brendan Carr, Chairman of the Federal Communications Commission (FCC), said that the recent collective decline in stock prices of wireless operators actually indicates that competition in the telecommunications service market is becoming increasingly intense, and that the policies of the Trump administration are one of the important drivers. Carr pointed out in an interview on Wednesday that large-scale spectrum auctions, cross-border competition from satellite companies, and EchoStar Corporation Class A gradually exiting the wireless network business have all intensified the market competition landscape. "The stock prices of mobile operators are taking a heavy hit," Carr bluntly said. "Several years ago, there were predictions that the market must retain four similar operators, otherwise companies would be content with the status quo, enjoying the benefits, and then driving stock prices soaring. But the reality now completely contradicts this projection." As the FCC Chairman appointed by Trump, Carr last year pushed EchoStar Corporation Class A to sell most of its spectrum assets to SpaceX and AT&T Inc. He previously believed that EchoStar Corporation Class A was progressing too slowly in building the fourth national wireless carrier. "Given the various competitive pressures in the market, we do not agree with the argument that 'a fourth national carrier must be artificially created'," Carr said. "And the facts confirm our judgment: network speeds continue to increase, and service prices continue to fall." In 2020, the merger between T-Mobile and Sprint Corp. was approved, one of the conditions being that EchoStar Corporation Class A had to acquire the Boost Mobile brand and commit to building an independent 5G wireless network. Last year, Carr initiated an investigation into the progress of EchoStar Corporation Class A's project and terminated the review immediately after the spectrum sales plan was announced. The FCC officially approved the related license transfer in May of this year. Carr stated that he is satisfied with the current competitive situation in the wireless service sector, especially with the entry of new satellite operators like SpaceX and Amazon.com, Inc., injecting new vitality into the market. Recently, the stock prices of AT&T, T-Mobile, and Verizon have been under pressure as SpaceX successfully completed its initial public offering, leading to concerns in the market about its potential to directly compete with major operators. According to a report on June 26, SpaceX is negotiating with internet service provider Charter Communications to launch wireless phone services. Carr expressed optimism about how SpaceX will use the newly acquired spectrum to improve its Starlink direct mobile service, which is expected to provide communication in areas without ground network coverage. SpaceX is already partnering with T-Mobile to provide such coverage services. Carr also stated that he is willing to consider allowing SpaceX to engage in transactions that more directly provide wireless services to consumers. He said that although there have been no "substantive discussions" with SpaceX on this matter, he maintains an open attitude towards "any potential transactions." Furthermore, the FCC is still reviewing Amazon.com, Inc.'s plan to acquire satellite operator Globalstar, Inc., which is working to operate its Low Earth Orbit (LEO) satellite network. "Clearly, they still need to continue launching satellites and building networks, but if the FCC approves this acquisition and grants the corresponding spectrum usage rights, it will be a crucial breakthrough," Carr said. Carr pointed out that under his leadership, the FCC overall maintains a friendly attitude towards transactions, and there is a boom in transactions in the internet sector. Since being appointed as chairman by President Trump in January 2025, the FCC has handled total transaction sizes ranging from $140 billion to $160 billion. "We have witnessed major transactions in the cable sector, AT&T's transactions in the spectrum field, and completed CBS's acquisition in the media sector," Carr said. "Currently, we have an open and accepting attitude towards various transactions." At the same time, Carr stated that the policy efforts to support the continued growth of the wireless industry will not stop. On July 22, the FCC will vote on two proposals: one to auction more high-value wireless spectrum to commercial operators, and the other to simplify the licensing approval process for satellite communications to further unleash industry vitality.