Mumbai, Oct. 12 -- US telecom stocks slumped on Friday after SpaceX acquired a low-band spectrum portfolio in a deal valued at approximately $8 billion, strengthening its ambitions to expand its Starlink mobile services. T-Mobile shares plunged 13.2%, while AT&T and Verizon declined around 10% each. Telecom stocks in Europe also fell following the announcement. The deal remains subject to regulatory approval.

The development triggered concerns that SpaceX could emerge as a stronger competitor to traditional wireless operators by combining satellite connectivity with terrestrial mobile network capabilities. However, the extent to which the expansion could affect established telecom operators remains uncertain, given the infrastructure and...