Full Breakdown
Telus Partners with AST SpaceMobile to Enhance Satellite Connectivity in Canada
3/5/2026, 11:06:11 AM
Overview of the Partnership
Telus Corporation, a major Canadian telecommunications company, has entered into a commercial agreement with AST SpaceMobile, a Texas-based satellite manufacturer, to enhance mobile connectivity across Canada. This partnership, announced on March 3, 2023, aims to provide direct-to-smartphone satellite services, allowing users to send texts, make calls, and access data in remote areas where traditional networks are unavailable. The service is expected to launch in late 2026.
Investment and Infrastructure Development
As part of the agreement, Telus will invest in ground infrastructure necessary for connecting subscribers to AST SpaceMobile's planned satellite constellation. The financial details of the investment have not been disclosed. Telus's Chief Technology Officer, Nazim Benhadid, emphasized the importance of this initiative in addressing connectivity gaps in Canada’s vast and remote regions.
Competitive Landscape
This partnership follows similar agreements made by Telus's competitors. Bell Canada has been collaborating with AST SpaceMobile since 2021, while Rogers Communications has partnered with SpaceX's Starlink. Both Bell and Rogers have also been exploring satellite-based solutions to enhance their service offerings.
AST SpaceMobile's Technological Advancements
AST SpaceMobile is in the process of deploying its BlueBird Block 2 satellites, with plans to launch at least 45 satellites by the end of 2026. The company has already demonstrated capabilities for voice calls, broadband data, and video streaming from space to standard smartphones, although these services are not yet commercially available. The first of these satellites, BlueBird-6, was launched in late 2022, and the next, BlueBird-7, is scheduled for launch on Blue Origin’s New Glenn rocket.
Financial Outlook and Revenue Projections
AST SpaceMobile has reported significant financial activity, including approximately $54 million in revenue for the last quarter of 2022 and an expectation of at least $140 million in sales for 2026. The company anticipates a revenue opportunity nearing $1 billion by 2027, driven by its partnerships and government contracts.
Criticism and Regulatory Challenges
Despite the promising outlook, AST SpaceMobile faces challenges, particularly regarding regulatory approvals for additional satellite spectrum in North America. The proposed arrangement with Ligado Networks has drawn opposition from other satellite operators and industry groups, including Iridium and the Satellite Safety Alliance, who argue that it could interfere with existing services.
Conclusion
The partnership between Telus and AST SpaceMobile represents a significant step towards improving mobile connectivity in Canada, particularly in underserved areas. As both companies work towards launching satellite-based services, the competitive landscape in the telecommunications sector is likely to evolve, with implications for service availability and quality across the country.
