By William Gavin
The company is developing a space-based broadband cellular network that could rival Elon Musk's Starlink
AST SpaceMobile's plans for a space-based cellular broadband network have been delayed due to a Blue Origin launch incident last month.
Satellite maker AST SpaceMobile has set a date for its next launch, as getting more satellites into space is the company's latest step toward developing a cellular broadband service to rival Starlink, a division of Elon Musk's SpaceX.
AST SpaceMobile (ASTS) said Tuesday that its BlueBird 8, 9 and 10 satellites are scheduled to be launched into low-Earth orbit as soon as June 17 from Cape Canaveral, Fla, aboard a SpaceX (SPCX) Falcon 9 rocket. The company had said the launch would take place sometime in mid-June, but has now revealed the specific date.
Getting more satellites into low-Earth orbit is critical for AST SpaceMobile, which is working on developing a service rivaling SpaceX's Starlink, among other competitors. AST will need to launch a least 45 satellites into LEO to begin offering some services. Right now, the company has just a handful of satellites orbiting the Earth.
&#34;Each BlueBird satellite launched expands our ability to support seamless space-based broadband mobile connectivity directly to everyday smartphones,&#34; AST President Scott Wisniewski said in a statement.
The announcement sent AST SpaceMobile shares up 7% in early trading on Tuesday before those gains were pared back. The stock was down 2% from Monday's close, at last check.
While, in most industries, it's unusual for one company to pay another to help it get a competing product off the ground, it's not uncommon in the space industry. High rocket-launch costs have historically been the key barrier to entry, and SpaceX has led the effort to make it cheaper to get into orbit with its Falcon 9.
AST's launch scheduled for this month became critically important for the company after Blue Origin's New Glenn rocket exploded during testing in Cape Canaveral. That's because AST is also partnering with Blue Origin to get its satellites into space. In part due to the explosion, AST expects a three- to six-month delay in launching its commercial service, which could now happen in the first half of 2027 according to William Blair analyst Louie DiPalma.
The Jeff Bezos-owned Blue Origin plans to return New Glenn to flight by the end of the year, an ambitious timeline. If it can pull that off, it would be good news for both AST and Amazon (AMZN), which have each contracted launches with New Glenn but can also rely on other partners.
AST had lined up a &#34;handful&#34; of launches with both SpaceX and Blue Origin, Wisniewski said last month on a call with analysts. The company is also exploring launches with other providers, such as Lockheed Martin (LMT) and Boeing's (BA) United Launch Alliance.
Amazon, which shares a founder with Blue Origin, has secured more than 100 launches for its satellites - infrastructure necessary for the company to launch a space-based cellular broadband network to compete with Starlink, AST and others. Blue Origin has been slated to launch some 30% of those contracted satellites, according to Amazon, which has contracted launches with Arianespace and ULA as well.
The Federal Communications Commission, which oversees the space-based cellular broadband industry, gave a boost to Amazon and its efforts to rival Starlink and AST last Friday. The regulator waived its deadline of July 30 for Amazon to launch half of its planned satellite constellation. The company requested the extension, citing in part delays from launch providers.
However, the FCC also added &#34;meaningful conditions&#34; to the waiver to encourage &#34;rapid builds and launches.&#34; Amazon will temporarily lose priority status for its satellites after July 30 until either 20 months have passed or half of its constellation is operational, the agency said.
SpaceX opposed the extension, arguing in a Feb. 3 letter to the FCC that Amazon's request was &#34;just its latest gambit to get special treatment at the expense of others.&#34;
&#34;At its current rate of deploying 1% of its satellites per year, Amazon is on pace to take a century to launch its initial system and centuries more to launch its next systems,&#34; David Goldman, SpaceX's vice president of satellite policy, wrote in a separate letter in March. &#34;But of course, Amazon only ever wants the rules to apply to its competitors.&#34;
See more: Elon Musk needs the cultish support of everyday investors to pull off the massive SpaceX IPO
-William Gavin
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(END) Dow Jones Newswires
06-09-26 1538ET

ASTS

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AST SpaceMobile announced that its BlueBird 8, 9, and 10 satellites will launch on June 17 via SpaceX's Falcon 9. This step is critical for building its cellular broadband network to rival Starlink, requiring at least 45 satellites in low-Earth orbit. The stock initially rose 7% but closed down 2%. A recent Blue Origin rocket explosion has delayed AST's commercial service by three to six months, potentially pushing the launch to early 2027.

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AST SpaceMobile's stock experiences rocky trading as SpaceX plans to launch its satellites into orbit