This article first appeared on GuruFocus .
Space Exploration Technologies Corp. ( SPCX , Financials ), the rocket and satellite business, is apparently in discussions to purchase Boost Mobile from EchoStar or have access to its wireless network.The talks are part of SpaceX's drive to build out a wider mobile service through Starlink Mobile.A partnership may offer SpaceX access to terrestrial infrastructure that complements its satellite constellation, creating a hybrid network that can compete more directly with AT&T, Verizon and T-Mobile.Today, Boost Mobile has a network agreement with AT&T and T-Mobile, which might be a valuable stepping stone for SpaceX as it grows beyond satellite communication.According to the article, EchoStar shares were up around 5.7% in premarket trade.The strategic importance is more important to investors than the current deal structure. SpaceX has already been working on Starlink to bring direct-to-device communication, and this terrestrial access might help speed things along and ease reliance on carrier agreements.Neither corporation has acknowledged a deal and the financial details and structure were unknown.Next catalyst will be if SpaceX and EchoStar go from talks to a formal deal and reveal how Boost Mobile plays into Starlink's wireless strategy.
