AST SpaceMobile, in partnership with Vodafone Group, has unveiled plans to launch the first phase of its space-based commercial mobile communications service in 2023. The company has secured the necessary funding to take the venture to this next stage, which will cover the 49 largest countries in the equatorial regions.

AST SpaceMobile will be the first service of its kind to connect standard mobile phones at 4G and 5G speeds using AST SpaceMobile’s patented space-based network. Today, more than 5bn mobile subscribers constantly move in and out of wireless coverage. AST SpaceMobile’s solution will fill these coverage gaps to enable people to stay connected whilst on the move.   

Traditional satellite systems require expensive specialised satellite phones or ground antenna systems. With AST SpaceMobile’s patented technology, all that’s needed is the user’s regular mobile phone.

The first tranche of AST SpaceMobile’s launch plans will involve the use of 20 satellites to offer seamless, low-latency mobile connectivity that can be accessed by approximately 1.6bn people across a vast geographical region. The initial service will target an area North and South of the equator, including rural and remote areas of a number of markets where Vodafone will integrate the technology into the services provided by its Vodacom, Safaricom and Vodafone brands. Subject to regulatory approval in each market, these will include DRC; Ghana; Mozambique; Kenya; and Tanzania. AST SpaceMobile will also apply for regulatory approval to launch the service in India.

Vodacom Group CEO Shameel Joosub said: “Providing affordable mobile coverage for everyone requires a blend of technologies and infrastructure, from traditional masts to small cells, balloons and satellites at the edge of space. While we have been adding deep rural network sites to connect remote communities without any coverage, the lack of power in some areas creates insurmountable obstacles. AST SpaceMobile will ensure that remote communities in many sub-Saharan African countries can have access to the latest digital services.”

In order to support the phase one commercial launch of its network, AST SpaceMobile has secured up to US$462m (£336m) in additional financing. This will come from existing investors in the company including Vodafone, Rakuten and American Tower as well as new investors, including UBS O’Connor and a broad base of financial institutions.

AST SpaceMobile also revealed that it is going public via a merger with New Providence Acquisition Corp., a special purpose acquisition company, in a deal expected to close in Q1 2021. All AST SpaceMobile shareholders are retaining 100 per cent of their equity in the combined company. The cash proceeds are expected to be used to fund phase one of the commercial launch of AST SpaceMobile’s space assets.