AST SpaceMobile, Inc. (“AST SpaceMobile”) (NASDAQ: ASTS), and Verizon (NYSE, NASDAQ: VZ) today announced a strategic partnership with a commitment of $100 million from Verizon, to provide direct-to-cellular AST SpaceMobile service when needed for Verizon customers.
“This new partnership with Verizon will enable AST SpaceMobile to target 100% coverage of the continental United States on premium 850 MHz spectrum with two major U.S. mobile operators in the most valuable wireless market in the world, a transformational commercial milestone,” said Abel Avellan, Founder, Chairman, and CEO of AST SpaceMobile. “This partnership will enhance cellular connectivity in the United States, essentially eliminating dead zones and empowering remote areas of the country with space-based connectivity.”
“Verizon has always been strategic and efficient with our spectrum strategy. We use the spectrum entrusted to us to deliver outstanding cellular service for our customers through our terrestrial network. By entering into this agreement with AST, we will now be able to use our spectrum in conjunction with AST’s satellite network to provide essential connectivity in remote corners of the U.S. where cellular signals are unreachable through traditional land-based infrastructure,” said Srini Kalapala, Senior Vice President of Technology and Product Development at Verizon.
The combination of Verizon’s highly reliable terrestrial mobile network, the multi-operator 850 Mhz band and the largest and most powerful commercial communications arrays ever deployed in low Earth orbit, is planned to enable cellular consumers to stay connected wherever they are, anywhere in the continental United States. The $100 million Verizon commitment includes $65 million of commercial prepayments, $45 million of which are subject to certain conditions, and $35 million of convertible notes.
Today, AST SpaceMobile has agreements with more than 45 mobile network operators globally who collectively serve over 2.8 billion existing subscribers. The company produces its state-of-the-art satellite technology in Midland, Texas, with manufacturing and testing facilities that collectively span 185,000 square feet.
About AST SpaceMobile
AST SpaceMobile 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. 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.
About Verizon
Verizon Communications Inc. (NYSE, Nasdaq: VZ) was formed in 2000 and is one of the world’s leading providers of technology and communications services. Headquartered in New York City and with a presence around the world, Verizon generated revenues of $134.0 billion in 2023. The company offers data, video and voice services and solutions on its award-winning networks and platforms, delivering on customers’ demand for mobility, reliable network connectivity and security.
Source: AST SpaceMobile
