EchoStar Agrees to Drop Suit over AWS-3 Auction

The company would still be on the hook for a shortfall payment if the auction fetches less than $2.9 billion.

EchoStar Agrees to Drop Suit over AWS-3 Auction
Photo of the Byron White U.S. Courthouse, which houses the U.S. Court of Appeals for the Tenth Circuit, by Daniel O'neill

WASHINGTON, May 29, 2026 – EchoStar and the Federal Communications Commission have reached a new agreement on the company’s potential liability ahead of an upcoming spectrum auction.

In terms of the amount potentially owed by EchoStar, it’s effectively the same as the existing arrangement. The parties said in the Thursday settlement they were looking “to avoid disputes over debts and any litigation and resolve the administrative claims” around the auction.

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