NEW YORK, March 4, 2026, 14:02 EST
Highlights:
- TELUS is set to support AST SpaceMobile, taking an equity position and committing funds for ground infrastructure to bring coverage to Canada.
- AST is targeting late 2026 for service launch, aiming to connect standard smartphones through low-Earth-orbit satellites.
- Just days after AST reported a big jump in revenue, the company is moving closer to launching broader commercial service with this deal.
Shares of AST SpaceMobile climbed Wednesday after the company landed a commercial agreement with Canada’s TELUS, which also threw in an equity investment—the latest boost for the satellite-to-phone operator as it pushes to shift from testing to actual service.
Why it matters now: Telecom operators are scrambling to close coverage gaps using satellites. For AST, landing major carriers is critical—not just for validation, but also to help bankroll the ground infrastructure needed to operate this network at scale.
It’s called “direct-to-device”: satellites connect straight to regular phones, no extra hardware needed. The idea? Fill coverage gaps—out where cell towers don’t reach, or when the network’s out.
TELUS plans to pour money into ground-based satellite gear and take an equity stake in AST SpaceMobile, with commercial launch eyed for late 2026. The rollout aims to cover texting, voice, and data, according to both firms. “Eliminat[e] connectivity gaps,” is how TELUS Networks CTO Nazim Benhadid summed up the move. Over at AST, Chief Commercial Officer Chris Ivory pointed to Canada’s sprawling landscape and remote sectors as key motivators. 1
Shares of AST SpaceMobile climbed roughly 12% in afternoon trading.
AST SpaceMobile is still in the red as it grows its satellite network, posting fourth-quarter revenue of $54.3 million against a net loss to common stockholders of roughly $74 million. CEO Abel Avellan described 2025 as the company’s first year with real revenue, adding that the goal for 2026 is to move beyond initial commercial rollout and ramp up to wider service. 2
The numbers point to a fast ramp. AST is targeting a BlueBird 7 launch in March, then plans to send up more satellites roughly every month or two. By the close of 2026, the company’s aiming to have between 45 and 60 satellites circling the globe.
Carrier deals are stacking up fast. On Monday, Orange announced a partnership with AST SpaceMobile and Satellite Connect Europe—a joint venture with Vodafone—and said it’s targeting satellite-to-phone demos in Romania in late 2026. The company is also working with Eutelsat, SES, Starlink, and Telesat, sticking with what it describes as a multi-vendor strategy. 3
AST faces a packed landscape. The satellite-to-phone market has become a scramble: legacy satellite firms and SpaceX’s Starlink are both expanding into mobile connectivity, chasing deals with carriers hungry for new coverage—no extra hardware required.
The TELUS deal doesn’t make the tough stuff go away. AST still faces the grind: building and launching satellites on time, nailing down regulatory sign-offs, and converting demos into real contracts. Costs keep rising, but recurring revenue is still out of reach.
Wednesday’s action throws the spotlight squarely on two things for investors: partner sign-ups and AST’s ability to stick to its launch schedule through 2026. 4
