Satellite operators poised for $9 billion payday after clearing C-band spectrum

Enlarge / Intelsat's Galaxy 37 satellite is the last of 12 new geostationary communications spacecraft launched over the last year to clear C-band spectrum. (credit: Maxar)

A SpaceX Falcon 9 rocket launched early Thursday with the last of a dozen new C-band video relay satellites purchased by Intelsat and SES to help clear spectrum for the rollout of 5G wireless services in the United States.

Intelsat and SES, two of the world's largest geostationary communications satellites operators, are on track to receive nearly $9 billion in incentive payments from 5G cell network operators by the end of the year. The payments are due after Intelsat and SES clear the lower 300 MHz of C-band spectrum, which is being transitioned from satellite services to terrestrial 5G under the supervision of the Federal Communications Commission.

The FCC auctioned the C-band spectrum for the rollout of 5G services in 2020. Verizon and AT&T took the lion's share of the $80 billion auction.