LIVE FROM MWC25 BARCELONA: Vodafone Group and partner AST SpaceMobile inked an agreement to create a jointly owned satellite service business to serve MNOs across European markets.

The service, dubbed SatCo, aims to provide geographic coverage across Europe to give consumers and businesses access to space-based cellular broadband connectivity via their MNO.

SatCo will distribute AST SpaceMobile’s satellite services to the MNOs under a turnkey arrangement.

It will be underpinned by network management and network operations centre capabilities using the mobile operator’s engineering expertise.

SatCo will build and manage a network of ground stations to provide backhaul services from the MNOs across Europe to the LEO satellite constellation.

The service will support European digital sovereignty as AST SpaceMobile’s satellites operate as remote radio heads while the core network capability remains with the MNOs.

SatCo plans to provide sovereign backhaul capabilities under Vodafone co-ownership, with European headquarters and management.

The deal provides AST SpaceMobile with an additional revenue stream as it works to build out its LEO constellation with newly developed birds.

The company’s first five LEO BlueBird satellites were sent into orbit in September 2024 and are currently being used in beta tests by Verizon and AT&T.

AST SpaceMobile estimates it will need 40 to 60 birds to provide continuous coverage across the US.

Vodafone Group, Verizon and AT&T are key investors in AST SpaceMobile. Vodafone is also a key technology partner for the direct-to-device satellite communications player.

In January, the mobile operator and AST SpaceMobile claimed they got a jump on rivals in the space connectivity race after conducting what they stated is the world’s first video call using a smartphone and satellites in an area with no mobile coverage.