Verizon and AT&T's satellite feature won't just trail behind T-Mobile's, it could also be pricey
While T-Mobile is proceeding full steam ahead with its direct-to-cell service, a comparable program from AT&T and Verizon has yet to take off. T-Mobile has teamed up with spaceflight firm SpaceX to provide connectivity from space in dead zones. AT&T and Verizon have partnered with satellite designer and manufacturer AST SpaceMobile.
AST’s chief Abel Avellan had a discussion with technology conglomerate Rakuten’s CEO Mickey Mikitani during the MWC about his company's space-based cellular network.
While the company has flexed its technological muscle several times in the past by carrying out demonstrations, it has only six satellites in orbit at the moment. For launching its initial service, it's going to need 45 of its BlueBird satellites in space. It is building 53 satellites and is "committed to 60 launches."
Some analysts, including Mobile Experts' Joe Madden, believe that AST's 60 satellites will be just enough for providing coverage to the US. For global customers, it would need more - at least 95.
AST has larger antennas than SpaceX's Starlink, but there are more of the latter's satellites in space. AST's smaller fleet has some feeling uneasy about capacity and the ability to provide sufficient speeds.
AST has promised speeds in the range of 20 Mbps, but Madden notes "that would be shared across a large number of users because these satellites cover a wide area." So even though AST has the grand ambition of having a space-based, broadband network, it will likely only provide texting services at first, and voice calls might also be added later.
AST is confident that it will be able to provide sufficient speeds. The company says that each of its satellites will be able to support 1 million users every month, with each subscribing to a plan of 1GB per month. However, it does agree that the service will be more effective in less populated areas.
While the company has flexed its technological muscle several times in the past by carrying out demonstrations, it has only six satellites in orbit at the moment. For launching its initial service, it's going to need 45 of its BlueBird satellites in space. It is building 53 satellites and is "committed to 60 launches."
The company aims to launch full continuous service by next year. Meanwhile, T-Mobile's service is in beta right now and will be launched commercially in July with SpaceX's 515 satellites.
Some analysts, including Mobile Experts' Joe Madden, believe that AST's 60 satellites will be just enough for providing coverage to the US. For global customers, it would need more - at least 95.
AST has larger antennas than SpaceX's Starlink, but there are more of the latter's satellites in space. AST's smaller fleet has some feeling uneasy about capacity and the ability to provide sufficient speeds.
AST has promised speeds in the range of 20 Mbps, but Madden notes "that would be shared across a large number of users because these satellites cover a wide area." So even though AST has the grand ambition of having a space-based, broadband network, it will likely only provide texting services at first, and voice calls might also be added later.
AST is confident that it will be able to provide sufficient speeds. The company says that each of its satellites will be able to support 1 million users every month, with each subscribing to a plan of 1GB per month. However, it does agree that the service will be more effective in less populated areas.
Each satellite cell can provide 20Mbps. Each satellite has 2,800 cells [so] has a capacity of 1 million packages a month.
AST SpaceMobile spokesperson, March 2025
Even if that goes to plan, it might cost the company around $5 to $9 per GB. In contrast, the cost for land-based 5G is in the range of $0.30 per GB. This means that the service could potentially be 20 times more expensive than what customers are used to paying.
T-Mobile had previously stated that its space-powered data service, which is slated to launch next year, would be "skinny" and "low-impact." The company hasn't shared pricing details for when it does add data support, but satellite texting is free for everyone during the beta phase. It will continue to be free for those on its pricier plans and those who switch to its network from other companies.
AST SpaceMobile believes that while satellite texting is a nice feature, customers should be able to connect to the internet when their phone cannot connect to a terrestrial network.
T-Mobile had previously stated that its space-powered data service, which is slated to launch next year, would be "skinny" and "low-impact." The company hasn't shared pricing details for when it does add data support, but satellite texting is free for everyone during the beta phase. It will continue to be free for those on its pricier plans and those who switch to its network from other companies.
AST SpaceMobile believes that while satellite texting is a nice feature, customers should be able to connect to the internet when their phone cannot connect to a terrestrial network.
I think it's important that the connectivity be more than text. I think text may be a good way to sell more phones, but in terms of providing value to the consumer, and then capturing the value in the form of ARPU [average revenues per user], it's very important to be delivering real value to them and selling broadband when your phone doesn't otherwise work. Not just in life-or-death situations, but just in how you interact with your phone.
Scott Wisniewski, President AST SpaceMobile, March 2025
The company's larger satellites, which cover 2,400 square feet compared to the 269 square feet of SpaceX's satellites, are what it believes will let it provide fast data speeds.
To be able to reach its goal of having 60 satellites in space by 2026, AST SpaceMobile has to raise more money. This makes things that much more uncertain.
The company says it will launch a beta effort with AT&T and Verizon soon. Intermittent, or continuous service, may begin later this year.
Verizon has also partnered with Skylo Technologies, and the two already support emergency messaging and location-sharing services on the Samsung Galaxy S25 and Google Pixel 9. They hope to offer text messaging soon.
To be able to reach its goal of having 60 satellites in space by 2026, AST SpaceMobile has to raise more money. This makes things that much more uncertain.
The company says it will launch a beta effort with AT&T and Verizon soon. Intermittent, or continuous service, may begin later this year.
Verizon has also partnered with Skylo Technologies, and the two already support emergency messaging and location-sharing services on the Samsung Galaxy S25 and Google Pixel 9. They hope to offer text messaging soon.
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