Verizon and AT&T's $100M Investment Boosts AST SpaceMobile Shares

Verizon and AT&T's $100M Investment Boosts AST SpaceMobile Shares

Lorenzo Cruz
2 min read

Verizon's $100 Million Investment in AST SpaceMobile Challenges SpaceX

AST SpaceMobile Inc. has experienced a remarkable 69% surge in its shares following a significant announcement by Verizon Communications. The telecommunications giant revealed its strategic collaboration with AST SpaceMobile, involving a whopping $100 million investment aimed at rivaling SpaceX, spearheaded by Elon Musk. This groundbreaking partnership also includes AT&T and is poised to leverage AST's innovative technology to achieve 100% coverage across the continental U.S. by enabling direct smartphone connectivity to a planned satellite system. This bold move signals Verizon and AT&T's joint commitment to revolutionizing space-based wireless services, with a promise to eliminate connectivity dead zones and bolster service in remote areas. AST's ambitious initiative encompasses the deployment of a constellation of 168 satellites to facilitate global cellular coverage, with the first batch of five commercial satellites scheduled for launch later this year.

Key Takeaways

  • Verizon's $100 million investment in AST SpaceMobile aims to rival Elon Musk's SpaceX.
  • AST's shares soared by 69% following the partnership announcements with Verizon and AT&T.
  • The collaboration is set to achieve 100% U.S. coverage through a revolutionary satellite system.
  • The strategic alliance aims to enhance cellular connectivity, eradicating dead zones across the country.
  • AST plans to launch the first five commercial satellites by late summer.


The unprecedented surge in AST SpaceMobile's stock, fueled by Verizon's substantial investment and partnership with AT&T, serves as a formidable challenge to SpaceX's predominant position in satellite-based communication. This strategic alliance is positioned to redefine U.S. cellular coverage by eliminating dead zones through the deployment of a constellation comprising 168 satellites. The immediate beneficiaries of this transformative endeavor include rural communities and industries heavily reliant on uninterrupted connectivity. In the long run, this undertaking has the potential to reshape global telecommunications, exerting influence on policy and investment in the realm of space technology. Moreover, heightened competition is likely to drive innovation and drive down costs in the satellite and telecom sectors.

Did You Know?

  • AST SpaceMobile Inc.: A pioneering company dedicated to developing a space-based cellular broadband network accessible directly by standard mobile phones. In contrast to traditional satellite phones, AST SpaceMobile's vision is to bridge the connectivity gap by enabling regular smartphones to connect directly to their satellites, thereby enhancing global connectivity without the need for specialized equipment.
  • Space-based wireless services: These entail telecommunications services delivered through satellites orbiting the Earth. Designed to extend coverage beyond the reach of terrestrial networks, these services are particularly crucial in remote or underserved areas. AST SpaceMobile's approach is distinctive, seeking to directly connect with standard smartphones, bypassing the necessity for specialized satellite communication devices.
  • Constellation of satellites: In the context of AST SpaceMobile's strategy, a constellation denotes a network of strategically positioned satellites in orbit to ensure consistent coverage over a specific area, in this case, the continental U.S., and ultimately, worldwide. This approach is critical for delivering seamless and uninterrupted cellular service, especially in regions where ground-based infrastructure is inadequate or non-existent.

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