AT&T and AST SpaceMobile Announce Definitive Commercial Agreement

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AT&T and AST SpaceMobile have entered a definitive commercial agreement to launch the first space-based broadband network for everyday cell phones, extending their collaboration until 2030. This partnership aims to enhance connectivity, with plans to launch initial satellites this summer. These satellites will enable commercial services demonstrated by successful voice, text, and video calls via space in 2023. Chris Sambar of AT&T will join AST SpaceMobile's board of directors, reinforcing this innovative collaboration. The agreement promises connectivity in remote areas, transforming how consumers and businesses access information.

  • AT&T and AST SpaceMobile have solidified their partnership until 2030, ensuring long-term collaboration.
  • Initial commercial satellites are planned for launch this summer, accelerating the timeline for enhanced connectivity.
  • Successful space-based voice, text, and video calls have already been demonstrated, proving the technology's viability.
  • Chris Sambar of AT&T joining AST SpaceMobile’s board of directors strengthens the collaboration.
  • The agreement aims to provide coverage in remote and hard-to-reach locations, enhancing connectivity for consumers and businesses.
  • The press release lacks detailed financial terms of the agreement, leaving investors unclear on potential costs or revenue impacts.
  • Future performance depends on the successful deployment and operation of the satellites, which is subject to technical and regulatory challenges.
  • No immediate revenue or profit projections are provided, making it difficult to assess the short-term financial impact.

The agreement between AT&T and AST SpaceMobile to establish a space-based broadband network for everyday cell phones is a significant technological milestone. This partnership, which has been in development since 2018, aims to conquer the limitations of terrestrial networks by utilizing low Earth orbit satellites. This will revolutionize connectivity for consumers, especially in remote areas. The operational plan includes launching five commercial satellites, which will offer unprecedented reach for mobile connectivity.

From a technological standpoint, this collaboration validates the viability of satellite-to-smartphone communication, which has already been demonstrated through successful voice, text and video calls. This technology seamlessly integrates with existing mobile networks, enhancing service coverage, which is otherwise limited by geography. This initiative could set new standards in the telecommunications industry by offering reliable connections in previously unreachable areas.

Rating: 1

The commercial agreement between AT&T and AST SpaceMobile extends until 2030, indicating a long-term commitment and a strategic move to enhance AT&T's service offerings. This venture could open up new revenue streams for both companies by tapping into underserved markets. AT&T's ongoing collaboration and its executive joining AST SpaceMobile's board signal robust corporate synergy and confidence in the project.

Financially, AT&T's investment in this technology could yield significant returns by reducing customer churn and attracting new subscribers looking for reliable connectivity in remote areas. Moreover, expanding service coverage without the need for extensive ground infrastructure could reduce operational costs over time. However, investors should remain cautious about the initial costs associated with satellite launches and technology integration.

Rating: 1

From a market perspective, the AT&T and AST SpaceMobile agreement addresses a critical demand for connectivity in geographically isolated regions. This partnership not only promises to enhance consumer experience but also provides a competitive edge in the wireless network market. The space-based broadband network can significantly reduce dead zones, offering a unique selling point compared to competitors.

For stakeholders, this advancement could lead to higher customer satisfaction and loyalty, especially among users in rural and wilderness areas. Additionally, businesses operating in remote locations will benefit from improved communication capabilities, potentially boosting their operational efficiency and service quality.

Rating: 1

DALLAS & MIDLAND, Texas--(BUSINESS WIRE)-- AT&T and AST SpaceMobile enter a commercial agreement to provide their first space-based broadband network direct to everyday cell phones.

(Photo: Business Wire)

(Photo: Business Wire)

Key Takeaways:

  • AT&T and AST SpaceMobile announce a commercial agreement to provide their first space-based broadband network direct to everyday cell phones.
  • The two companies have been on this path together since 2018. This agreement is another key step to providing even more expansive connectivity.

AT&T* and AST SpaceMobile have entered a definitive commercial agreement to provide a space-based broadband network direct to everyday cell phones. This agreement extends until 2030. Previously the companies were working together under a Memorandum of Understanding. This is not just one small step, but one giant leap towards enhanced connectivity for consumers and businesses across the country.

This summer, AST SpaceMobile plans to deliver its first commercial satellites to Cape Canaveral for launch into low Earth orbit. These initial five satellites will enable commercial service that was previously demonstrated with several key milestones. These industry first moments during 2023 include the first voice call, text and video call via space between everyday smartphones.

The two companies have been on this path together since 2018. AT&T will continue to be a critical collaborator in this innovative connectivity solution. Chris Sambar, Head of Network for AT&T, will soon be appointed to AST SpaceMobile’s board of directors. AT&T will continue to work directly with AST SpaceMobile on developing, testing, and troubleshooting this technology to help make continental U.S. satellite coverage possible.

“Space-based direct-to-mobile technology is designed to provide customers connectivity by complementing and integrating with our existing mobile network,” said Jeff McElfresh, Chief Operating Officer, AT&T. “This agreement is the next step in our industry leadership to use emerging satellite technologies to provide services to consumers and in locations where connectivity was not previously feasible.”

"Working together with AT&T has paved the way to unlock the potential of space-based cellular broadband directly to everyday smartphones. We are thrilled to solidify our collaboration through this landmark agreement," said Abel Avellan, AST SpaceMobile Founder, Chairman, and CEO. "We aim to bring seamless, reliable service to consumers and businesses across the continental U.S., transforming the way people connect and access information."

This is another key step on AT&T’s path to providing even more expansive connectivity on America’s largest wireless network1. There are many situations where dead zones outside will become a thing of the past thanks to the reach of a satellite solution providing two-way connectivity.

One day in the not-too-distant future, consumers will feel a greater peace of mind knowing they have connectivity in places like wilderness areas, including our national park land, rural highways, and other hard to reach locations around the country.

1Based on comparison of carrier owned & operated networks. No AT&T on-net coverage in select countries, including Canada

*About AT&T

We help more than 100 million U.S. families, friends and neighbors, plus nearly 2.5 million businesses, connect to greater possibility. From the first phone call 140+ years ago to our 5G wireless and multi-gig internet offerings today, we @ATT innovate to improve lives. For more information about AT&T Inc. (NYSE:T), please visit us at Investors can learn more at

About AST SpaceMobile

AST SpaceMobile, Inc. is building the first and only global cellular broadband network in space to operate directly with standard, unmodified mobile devices based on our extensive IP and patent portfolio, and designed for both commercial and government applications. Our engineers and space scientists are on a mission to eliminate the connectivity gaps faced by today’s five billion mobile subscribers and finally bring broadband to the billions who remain unconnected. For more information, follow AST SpaceMobile on YouTube , X (formerly Twitter) , LinkedIn and Facebook . Watch this video for an overview of the SpaceMobile mission.

Forward-Looking Statements

This communication contains “forward-looking statements” that are not historical facts, and involve risks and uncertainties that could cause actual results of AST SpaceMobile to differ materially from those expected and projected. These forward-looking statements can be identified by the use of forward-looking terminology, including the words “believes,” “estimates,” “anticipates,” “expects,” “intends,” “plans,” “may,” “will,” “would,” “potential,” “projects,” “predicts,” “continue,” or “should,” or, in each case, their negative or other variations or comparable terminology.

These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside AST SpaceMobile’s control and are difficult to predict.

Factors that may cause such differences include, but are not limited to: (i) expectations regarding AST SpaceMobile’s strategies and future financial performance, including AST’s future business plans or objectives, expected functionality of the SpaceMobile Service, anticipated timing of the launch of the Block 1 Bluebird satellites, anticipated demand and acceptance of mobile satellite services, prospective performance and commercial opportunities and competitors, the timing of obtaining regulatory approvals, ability to finance its research and development activities, commercial partnership acquisition and retention, products and services, pricing, marketing plans, operating expenses, market trends, revenues, liquidity, cash flows and uses of cash, capital expenditures, and AST’s ability to invest in growth initiatives; (ii) the negotiation of definitive agreements with mobile network operators relating to the SpaceMobile service that would supersede preliminary agreements and memoranda of understanding and the ability to enter into commercial agreements with other parties or government entities; (iii) the ability of AST SpaceMobile to grow and manage growth profitably and retain its key employees and AST SpaceMobile’s responses to actions of its competitors and its ability to effectively compete; (iv) changes in applicable laws or regulations; (v) the possibility that AST SpaceMobile may be adversely affected by other economic, business, and/or competitive factors; (vi) the outcome of any legal proceedings that may be instituted against AST SpaceMobile; and (vii) other risks and uncertainties indicated in the Company’s filings with the SEC, including those in the Risk Factors section of AST SpaceMobile’s Form 10-K filed with the SEC on March 31, 2023.

AST SpaceMobile cautions that the foregoing list of factors is not exclusive. AST SpaceMobile cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. For information identifying important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, please refer to the Risk Factors incorporated by reference into AST SpaceMobile’s Form 10-K filed with the SEC on March 31, 2023. AST SpaceMobile’s securities filings can be accessed on the EDGAR section of the SEC’s website at Except as expressly required by applicable securities law, AST SpaceMobile disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Andrea Huguely

AT&T Corporate Communications

Phone: +1 (972) 207-8630



Eva Murphy

Phone: 917-547-7289


Source: AST SpaceMobile, Inc.


What is the significance of the agreement between AT&T and AST SpaceMobile?

The agreement marks a key step in launching a space-based broadband network for everyday cell phones, aiming to enhance connectivity in remote areas.

When will AST SpaceMobile launch its initial satellites?

AST SpaceMobile plans to launch its initial satellites this summer.

What successful demonstrations have AT&T and AST SpaceMobile achieved so far?

They have successfully demonstrated voice, text, and video calls via space between everyday smartphones in 2023.

Who from AT&T will join AST SpaceMobile’s board of directors?

Chris Sambar, Head of Network for AT&T, will join AST SpaceMobile’s board of directors.

How long does the agreement between AT&T and AST SpaceMobile last?

The agreement extends until 2030.

AST SpaceMobile, Inc.


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Satellite Telecommunications
United States of America