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AT&T Delays Satellite Service Launch Amid Competitive Pressure

AT&T recently sparked interest with a brief announcement regarding its satellite service, only to retract it, indicating a potential delay in its rollout. The telecommunications giant is collaborating with AST SpaceMobile, a company specializing in satellite technology, to provide its subscribers with connectivity, particularly in regions lacking coverage from traditional land-based networks.

AST SpaceMobile secured regulatory approval from the Federal Communications Commission (FCC) in February to test its innovative technology. As competitors T-Mobile and Verizon have already begun offering their own satellite services, AT&T appears to be responding to market pressures. The company previously launched a promotional campaign detailing rollout dates for their service but subsequently withdrew this information.

The anticipated services include satellite texting for compatible devices, expected to be available within the year, with voice call support projected to follow in late 2026.

Although the exact reasons for the retraction of the launch announcement remain unclear, it suggests that AT&T might face delays. Currently, AST SpaceMobile has launched only five of its BlueBird satellites into orbit and plans to deploy an additional 45 to 60 satellites by 2026, which are essential for enabling satellite-based texting, calling, and data services across its network of partners, including Verizon.

AST SpaceMobile’s ambitions appear to surpass those of T-Mobile, with claims that its satellites are larger and more advanced than the hardware being utilized by T-Mobile and Apple. However, the transition from concept to operational service remains fraught with challenges.

T-Mobile is on the verge of a public rollout of its satellite services, potentially introducing data and voice capabilities shortly, unless it faces setbacks from industry rivals.

On the other hand, AST SpaceMobile must navigate significant regulatory challenges before it can connect its satellites to the subscriber networks of AT&T and Verizon. According to Tim Farrar, an analyst at TMF Associates, the size and design of AST SpaceMobile’s satellites could complicate their launch into orbit.

Additionally, there are questions about the company’s capacity for a broader rollout, as reflected in its recent FCC filing, which raises doubts about its preparedness for large-scale deployment.

Initial testing by AST SpaceMobile for AT&T will be restricted to the FirstNet network, which serves first responders, and will involve only 45 smartphones. This limitation raises concerns regarding the service’s overall capacity and readiness.

Despite these challenges, AST SpaceMobile has expressed a commitment to providing both voice and data services to first responders, suggesting that users may not be limited to text messaging alone. The company aims to achieve this while adhering to strict power regulations, a requirement that T-Mobile’s partner SpaceX received a waiver for.

As testing progresses, AT&T’s partnership with AST SpaceMobile could eventually facilitate the launch of a nationwide direct-to-cell service, providing critical communication capabilities to underserved areas.

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www.phonearena.com