Verizon Shares Dip as SpaceX Eyes Network Expansion
The telecom giant's stock fell in after-hours trading following reports of SpaceX's plans to access U.S. cell sites.
Updated on Oct. 23, 2026 in Telecommunications
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Should the expansion of satellite-based wireless networks lead to lower costs for mobile phone users?
Verizon shares dropped 3.74% in after-hours trading on Thursday to $43.51. The decline followed reports that SpaceX is negotiating to gain access to 80,000 U.S. cell sites for a new wireless network.
Why it matters
Market concerns emerged regarding potential new infrastructure competition from SpaceX, leading to share price drops for major U.S. telecommunications providers.
Verizon reports a market capitalization of $187.80 billion and posted $34.25 billion in revenue for the second quarter. Trading volume for the company reached 28.92 million shares on Thursday.
The players
Verizon
This major American multinational telecommunications conglomerate provides a wide range of wireless and wired services to consumers and businesses.
SpaceX
This American spacecraft manufacturer and space transport company is actively expanding its satellite-based communication capabilities through Starlink.
Maher Yaghi
He is a financial analyst at Scotiabank who provides research and coverage on the telecommunications and media sectors.
The details
Shares of T-Mobile and AT&T also experienced declines in the after-hours session alongside Verizon. Analysts have begun adjusting outlooks, with Scotiabank analyst Maher Yaghi lowering the Verizon price target to $50.
Timeline
Verizon reported second-quarter earnings in July 2026.
Scotiabank lowered its Verizon price target in early October 2026.
Verizon shares traded during the regular session on October 22, 2026.
Verizon is scheduled to release third-quarter earnings on October 26, 2026.
The Tech Race
This development highlights the ongoing shift toward integrated satellite and terrestrial networks, which is replacing traditional reliance on standalone ground-based towers. It positions major telecommunications companies against emerging satellite-led infrastructure providers in a struggle for market share.
Investors may see increased volatility in their telecommunications portfolio holdings as infrastructure competition evolves. For the average subscriber, these moves represent a long-term shift toward potential new hybrid network capabilities that could expand cellular coverage.
The takeaway
The move underscores the growing tension between legacy wireless infrastructure and the expanding capabilities of satellite technology. Readers should watch for the upcoming quarterly reports to see how carriers adjust their guidance in response to these infrastructure shifts.
What happens next
Verizon will release its third-quarter earnings report before the market opens on October 26, 2026.
Further reading
For broader trends in the industry, visit the Telecommunications section.
Live Poll
Should the expansion of satellite-based wireless networks lead to lower costs for mobile phone users?
