Rocket Lab Falls 6% as SpaceX Flags Iridium Deal to the FCC, Intuitive Machines Slides 5%

SpaceX (SPCX.OQ) has petitioned the Federal Communications Commission (FCC) to scrutinize Iridium Communications' conduct during the regulatory review of Rocket Lab's proposed $8 billion takeover of Iridium. SpaceX cited ongoing spectrum interference disputes regarding its next-generation Starlink gateways and pointed to Iridium's history of filing petitions against rival satellite deployments. While SpaceX clarified that it does not formally oppose the merger transaction, it urged regulators to evaluate whether Iridium's actions serve the public interest. The regulatory pushback triggered immediate pressure across the space sector, sending Rocket Lab shares down 6% to $63.82. The merger structure amplifies market risk because Iridium investors are slated to receive $27 in cash plus a variable number of Rocket Lab shares based on the volume-weighted average price prior to deal completion. Consequently, regulatory friction translates directly into equity volatility. Other space names pulled back in tandem, while the broader market remained relatively steady, with the SPDR S&P 500 ETF Trust (SPY) down 0.3%.