Giant satellite TV company files Chapter 11 bankruptcy

The shift towards streaming services and away from traditional satellite television has had a significant impact on companies like Dish Wireless. The company reported a loss of 366,000 paid subscribers in the first quarter of 2026, bringing their total subscriber count down to 6.63 million. This decline in subscribers has led to financial difficulties, prompting Dish Wireless to file for Chapter 11 bankruptcy.

As part of the bankruptcy proceedings, Dish Wireless and its affiliates, including Sling TV LLC, have entered into a restructuring support agreement. This agreement will facilitate the sale of parent company EchoStar’s wireless spectrum licenses to AT&T for $23 billion. This sale will help the company reorganize and pay off debts, including $2 billion in senior secured notes due in July 2026.

In addition to the sale to AT&T, EchoStar has also agreed to sell its AWS-4 and H-Block spectrum licenses to Elon Musk’s SpaceX for $17 billion. This deal includes a long-term commercial agreement that will allow Boost Mobile subscribers to access SpaceX’s Starlink Direct to Cell service.

The bankruptcy case is expected to conclude by the end of the third quarter of 2026. Dish Wireless listed assets between $1 billion and $10 billion and debts between $10 billion and $50 billion in its bankruptcy petition. The company’s largest unsecured creditors include US Bank Trust Company NA, Wilmington Savings Fund Society FSB, ESPN, Turner Network Sales Inc., Nexstar, Fox Corporation, USA Network, Sinclaire Television Group, and MTV Networks.

Overall, the sale of wireless spectrum licenses to AT&T and SpaceX, along with the reorganization through Chapter 11 bankruptcy, will help Dish Wireless navigate the changing landscape of the telecommunications industry. This story was originally published by TheStreet on July 1, 2026, and first appeared in the Technology section.