---
title: "What Does AST SpaceMobile Do?"
description: "AST SpaceMobile (ASTS) shares have surged 460% this year, sparking investor curiosity about the company's mission to establish a space-based cellular broadband network. Recently, AST SpaceMobile signe"
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/213110093.md"
published_at: "2024-08-31T13:17:03.000Z"
---

# What Does AST SpaceMobile Do?

> AST SpaceMobile (ASTS) shares have surged 460% this year, sparking investor curiosity about the company's mission to establish a space-based cellular broadband network. Recently, AST SpaceMobile signed a commercial agreement with AT&T, and secured investments from Vodafone and Alphabet. The company is set to launch five commercial satellites next month and has partnerships with over 45 mobile operators. However, while the telecom sector views AST SpaceMobile favorably, potential investors should note the risks, as the company is not yet generating cash flow.

Share prices of **AST SpaceMobile** (ASTS -0.72%) have skyrocketed about 460% since the start of the year. To say that the growth stock has drawn considerable investor interest would be a gross understatement. But while onlookers may be impressed with the stock's meteoric rise, many still wonder what it is exactly that the company does.

Let's take a closer look at AST SpaceMobile to see what has the market so excited.

## The ABCs of AST SpaceMobile

In the very early innings of its development, AST SpaceMobile characterizes itself as a company "building the first and only space-based cellular broadband network." That's no small endeavor. To offer this service, AST SpaceMobile has to complete several tasks.

For instance, the company needs to attract telecom partners, and it has achieved success here. Most recently, AST SpaceMobile signed a commercial agreement with **AT&T**, which the companies say will "provide their first space-based broadband network direct to everyday cellphones."

Earlier this year, AST SpaceMobile reported an investment from **Alphabet** and **Vodafone** (as well as AT&T). Speaking to the merits of the deal, Vodafone CEO Margherita Della Valle said that "Vodafone's investment and collaboration with AST SpaceMobile will help make our mobile connectivity services available everywhere for our customers across Europe and Africa."

Additionally, AST SpaceMobile is working toward deploying its satellites in low Earth orbit. A big step toward achieving this will happen next month as the company plans to launch the first five commercial satellites into space.

## Is AST SpaceMobile a good stock to buy now?

There's no denying that telecommunications companies are taking AST SpaceMobile seriously. The company claims it has inked agreements with over 45 mobile network operators worldwide, representing over 2.8 billion total existing subscribers.

However, prospective investors should appreciate that plenty of risks remain -- especially considering the company is not generating organic cash at the moment. Developing a network of satellites to provide space-based broadband cellular service won't be easy. Potential investors should be comfortable with a higher degree of risk here than with your average stock.

### Related Stocks

- [ASTS.US - AST SpaceMobile](https://longbridge.com/en/quote/ASTS.US.md)

## Related News & Research

| Title | Description | URL |
|-------|-------------|-----|
| AST SpaceMobile Director Keith R. Larson Reports Acquisition of Common Shares | Keith R. Larson, Director at AST SpaceMobile Inc., has reported the acquisition of common shares of the company. The ful | [Link](https://longbridge.com/en/news/269296065.md) |
| AST SpaceMobile Director Adriana Cisneros Reports Acquisition of Common Shares | Adriana Cisneros, Director of AST SpaceMobile Inc., reported acquiring common shares of the company. The original filing | [Link](https://longbridge.com/en/news/267225700.md) |
| What's Going On With AST SpaceMobile Stock Wednesday? | AST SpaceMobile Inc (NASDAQ:ASTS) shares fell 9.50% to $71.14 after the company announced a private offering of $1 billi | [Link](https://longbridge.com/en/news/262265766.md) |
| Check Out What Whales Are Doing With ASTS | Deep-pocketed investors have adopted a bearish approach towards AST SpaceMobile ( NASDAQ:ASTS ) , and it's something mar | [Link](https://longbridge.com/en/news/262089379.md) |
| Insider Buying: AST SpaceMobile (NASDAQ:ASTS) Director Acquires 715 Shares of Stock | AST SpaceMobile Director Keith Larson purchased 715 shares at $70.02 each, totaling $50,064.30, increasing his holdings  | [Link](https://longbridge.com/en/news/270186346.md) |

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> **Disclaimer**: This article is for reference only and does not constitute any investment advice.