New York, Jan 13, 2026, 15:31 EST — Regular session
- EchoStar shares slipped amid growing concerns over a contract dispute between its DISH Wireless unit and tower landlord Crown Castle
- Crown Castle announced it ended the agreement following a payment default and plans to seek over $3.5 billion in owed funds
- Traders are closely monitoring for spillover into other tower contracts and any updates on how the dispute might impact EchoStar’s network wind-down
Shares of EchoStar Corp slipped 2.6% to $122.79 in Tuesday afternoon trading. The drop came after Crown Castle announced it had ended its wireless infrastructure deal with EchoStar’s DISH Wireless unit due to a payment default. 1
The dispute comes at a tricky time for EchoStar. The company is in the midst of revamping its wireless operations, having agreed to sell spectrum—the airwaves carriers rely on for data—and to overhaul Boost Mobile’s service approach. Meanwhile, investors remain focused on the firm’s cash demands and legal risks.
Crown Castle announced that DISH Wireless has ceased making the required payments and that it plans to pursue recovery of over $3.5 billion still owed under the contract. The company pledged to “do everything we can to enforce our rights under our agreement with DISH.” 2
The tower agreement is significant due to its scale. Crown Castle’s lawsuit highlights a master lease from late 2020 granting DISH the right to lease space on roughly 20,000 towers, plus a separate deal involving fiber and related infrastructure. 3
New Street Research analyst David Barden noted the latest development doesn’t resolve the core issue but might shift the balance in court. “Nothing is really changing other than, perhaps, the legal maneuvering,” he said, while also suggesting a compromise could still be on the table. 3
Crown Castle’s statement highlighted the divide: after EchoStar revealed spectrum sales last summer, DISH informed partners it was pulling back from its network business. It claimed it didn’t have to meet some obligations, citing Federal Communications Commission moves. The company leaned on “force majeure” clauses — contract terms that can excuse performance when unforeseen events occur.
EchoStar’s shares dipped Tuesday, appearing as a retreat following a recent surge. Traders cited concerns over legal and execution risks tied to the wireless transition, rather than any change in the company’s main satellite TV and broadband business.
EchoStar agreed last year to offload spectrum to AT&T and SpaceX in transactions totaling about $40 billion, steps the company says will tackle FCC issues and lower its debt burden. 4
The risk remains obvious: should EchoStar’s DISH unit lose in court or settle on tough terms, cash needs could spike right as it’s breaking down parts of its network and hashing out its long-term operating plan. On top of that, a wider string of contract disputes with other tower owners would only deepen the uncertainty.
Investors are now watching for any court updates in the Colorado case, along with EchoStar’s upcoming quarterly report, slated for late February according to market calendars. 5
