AT&T and AST SpaceMobile Partnership for Space-Based Wireless Service

SOURCE finance.yahoo.com
AT&T Inc. and AST SpaceMobile Inc. are partnering to provide wireless service from space, competing with SpaceX. The agreement will run through 2030 and aims to offer connectivity in remote areas via a space-based broadband network.

Key Points

  • Partnership aims to provide connectivity for mobile phones in remote areas
  • Service to be delivered via space-based broadband network through satellites
  • Initial markets include the US and Japan
  • Expectation of continuous service with 45-60 spacecraft
  • Service will work with ordinary mobile phones, offering convenience

Pros

  • Potential to offer connectivity in remote areas beyond the reach of cell towers
  • Partnership between established telecom company (AT&T) and innovative satellite provider (AST SpaceMobile)

Cons

  • Technical limitations may impact competitiveness with existing terrestrial cellular networks
  • Deployment and operation of space-based network could face challenges