EchoStar's Decision to Sell Spectrum Is a Huge Step in Right Direction

For years, EchoStar has remained steadfast in its belief that it could build a wireless business to capitalize on the value of its wireless licenses. No real signs of success have emerged, and the firm's finances have been left in tatters. However, the decision to sell licences to AT&T quickly realizes value for shareholders, dramatically reduces balance sheet risk, and opens a new chapter in EchoStar's development. Regulators could still choose to block the spectrum sale, though, which would put the firm back in its troubled state with no clear path out.