Satellite Internet Threatens Traditional Broadband Providers
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 03 2026
0mins
Source: CNBC
- Increased Market Pressure: Oppenheimer analyst Timothy Horan downgraded AT&T from buy to perform, citing the looming threat from SpaceX's upcoming IPO, with AT&T shares down 12% over the last three months.
- Enhanced Regulatory Support: The FCC's recent vote to update satellite spectrum-sharing rules could increase satellite broadband access seven-fold, facilitating market entry for companies like SpaceX.
- Changing Competitive Landscape: Horan noted that AT&T is the most at risk among telecoms due to lower exposure to broadband compared to Verizon and T-Mobile US, with new fiber builds expected to halt in three years, impacting the entire supply chain.
- Significant IPO Impact: SpaceX plans to set its IPO price at $135 per share, targeting a valuation of $1.75 trillion, which could heighten investor concerns regarding AT&T's market position.
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Analyst Views on T
Wall Street analysts forecast T stock price to rise
15 Analyst Rating
8 Buy
5 Hold
2 Sell
Moderate Buy
Current: 22.710
Low
20.00
Averages
28.27
High
33.00
Current: 22.710
Low
20.00
Averages
28.27
High
33.00
About T
AT&T Inc. is a holding company. The Company is a provider of telecommunications and technology services globally. The Company’s segments include Communications and Latin America. The Communications segment provides wireless and wireline telecom and broadband services to consumers located in the United States and businesses globally. The business units of the Communication segment include Mobility, Business Wireline, and Consumer Wireline. Mobility provides nationwide wireless service and equipment. Business Wireline provides advanced Ethernet-based fiber services, Internet Protocol (IP) Voice and managed professional services, as well as legacy voice and data services and related equipment, to business customers. Consumer Wireline provides broadband services, including fiber connections. Consumer Wireline provides legacy telephony voice communication services. The Latin America segment provides wireless services and equipment in Mexico.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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