AT&T Might Look Beyond AST SpaceMobile for D2D

Why It Matters

Expanding wholesale LEO partnerships lets AT&T fill coverage gaps without cannibalizing its core mobile business, strengthening its competitive edge in a race for ubiquitous connectivity. It also signals broader industry validation of satellite‑based D2D services.

Key Takeaways

• AT&T may partner with multiple LEO satellite providers for D2D
• SpaceX developing D2D service using EchoStar‑acquired spectrum
• Amazon Leo plans D2D launch in 2028 after Globalstar acquisition
• AST SpaceMobile cleared for 700/800 MHz use, up to 248 satellites
• AT&T prefers wholesale satellite capacity over MVNO agreements

Pulse Analysis

AT&T’s Q1 2026 earnings call revealed a strategic shift toward a heterogeneous network that blends terrestrial towers with low‑Earth‑orbit satellites. By keeping the door open to several LEO operators, the carrier aims to provide "always‑on" coverage in rural and hard‑to‑reach "white space" areas while preserving its core wireless business. This wholesale‑first mindset reflects a broader industry trend where legacy telcos seek to augment, not replace, their networks with space‑based assets.

The satellite landscape is rapidly evolving. AST SpaceMobile secured FCC authorization to deploy up to 248 satellites using 700 MHz and 800 MHz bands, a move that could bolster AT&T’s supplemental coverage. Meanwhile, SpaceX is engineering a next‑generation D2D offering powered by spectrum recently acquired from EchoStar, and Amazon’s Leo unit is targeting a 2028 launch following its purchase of Globalstar. These developments give AT&T a menu of partners, each bringing distinct orbital constellations and frequency assets, which could be combined to create a resilient, multi‑layered service.

For the market, AT&T’s approach signals confidence in satellite‑enabled connectivity while avoiding the risk of an MVNO model that might erode its subscriber base. By negotiating wholesale agreements, the carrier can tap satellite capacity on demand, manage costs, and maintain control over pricing and service quality. This strategy could accelerate the rollout of nationwide broadband, pressure competitors to pursue similar partnerships, and shape regulatory discussions around spectrum sharing and satellite licensing.