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AST SpaceMobile Q1 2026 Earnings Call · AST SpaceMobile Podcast

0:07
Is the AST space. Mobile.
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Podcast and we just basically from the phone be seamless
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regardless of where you are. We don't want the user even to
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know that it's connected by satellite.
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Listen, the opportunity that we have is very, very, very large.
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Good day and thank you for standing by.
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Welcome to AST Space Mobile's First Quarter 2026 Business
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Update. Please be advised that today's
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call is being recorded. I will now turn the conference
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over to Max Colbert, Investor Relations Manager of ASP Space
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Mobile. Thank you.
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You may begin. Thank you and good afternoon
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everyone. Today I'm also joined by
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Chairman and CEO of Bell Avalon, President, Scott Wisniewski and
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CFO and Chief Legal Officer, Andy Johnson.
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Let me refer you to slide two of the presentation which contains
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our Safe Harbor disclaimer. During today's call, we may make
1:01
certain forward-looking statements.
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These statements are based on current expectations and
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assumptions and as a result are subject to risks and
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uncertainties. Many factors could cause actual
1:11
events to differ materially from the forward-looking statements
1:14
on this call. For more information about these
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risks and uncertainties, please refer to the Risk Factors
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section of AST Space Mobile's Annual Report on Form 10K for
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the year end December 31, 2025 with the Securities and Exchange
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Commission and other documents filed by AST Space Mobile with
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the SEC. From time to time, also after
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our initial remarks, we will be starting our Q&A section with
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questions submitted in advance by our shareholders.
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For those of you who may be new to our company and mission,
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there are nearly 6 billion mobile phones today around the
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world, but many of us still experience gaps in coverage as
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we live, work and travel. Additionally, there are billions
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of people without cellular broadband and who remain
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unconnected to the global economy.
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The markets we are pursuing at AST Space Mobile are massive and
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the problem we are solving is important and touches nearly all
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of us. In this backdrop, AST Space
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Mobile was building the first and only global cellular
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broadband network in space to operate directly with everyday
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unmodified mobile devices supported by our extensive IP
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and patent portfolio. It is now my pleasure to pass
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this over to Chairman and CEO, Bell Avalon, who will go through
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our activities since our last public update.
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Thank you Max. St.
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Space Mobile start to 2026 reflect our progress in scaling
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manufacturing and production mobile network operator partner
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expansion, grand network integration, multi partner
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launch and a fortress capital position.
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This advancement across nearly all initiative help solidify why
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St. Space Mobile is the only company
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whose technology is position to capture the direct to device
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seller of robot opportunity in full.
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We continue to execute on key business objectives at the
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company transitioning from R&D stage to fully scale operational
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deployment. On the manufacturing front, we
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have over half a million square feet of manufacturing and
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operations space globally. As we continue to scale our
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manufacturing effort where in advanced stages of producing an
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assembly through Bluebird 33, we face a race completed through
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Bluebird 28. A detailed cadence of our 25 and
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26 deployment plan is shown in the accompany quarterly
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presentation found on our IR website.
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Our 95% vertically integrated manufacturing strategy is
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significant long term advantage with our manufacturing team
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ramping up significantly over the past several quarters.
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I am thrilled to report that the leadership we have in place is
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now producing Microns space arrays, stackable satellite
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composite structure at an accelerating pace to support our
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target cadence of 6 fully assembly satellites per month.
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Our custom ASIC is designed to support up to 10 gigahertz of
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processing bandwidth per satellite and is expected to
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nearly double the peak data speed recently achieved using
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our own Orbit Block 1 Bluebird satellites, helping unlock
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through space based cellular functionality and enabling
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native cellular capabilities that consumers now expect
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everywhere all the time. As a reminder, we're building
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the largest phase array in low Earth orbit.
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We possess the ability to deploy significant power to orbit and
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meaningful at a meaningful scale and competitive cost.
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They give us an ample opportunity to scale our space
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based cellular broadband correlation based on demand
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signal from our growing lease of partners.
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That is a unique important concept for the direct to device
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industry with even broader implications as the space become
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an energy rich and data native industrial environment.
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We continue to leverage these advantages by driving innovation
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into every aspect of our satellite capabilities.
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We are deploying specific AI edge computing and AAI spectrum
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management features for on orbit capabilities to incorporate into
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novel AI platforms and maximize user experience.
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We currently expect to integrate these features into our next
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generation Bluebird satellite targeting Bluebirds in
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production by year end. Our multiple provider orbital
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launch strategy feature orbital launch aboard Blue Origin,
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SpaceX and others as a reflection of our multi partner
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launch strategy. While returning to the launchpad
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at the Cape Canaveral in mid June with Blue Birds 89 and 10
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aboard a Falcon 9 launch vehicle.
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We are excited to get back to the launchpad very soon and are
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targeting approximately 45 satellites in orbit by year end
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through a combination of our launch providers.
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Our ground based gateway architecture act as a native
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extension of our network operator partners interfacing
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directly with Nokia, Inovis and MNO cores over standard 3 GPP
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protocols. This means our gateways
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architecture and or satellites network scales natively with
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4G5G and future 6G standards, reducing network integration
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complexity. We're actively scaling our
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ground network integration efforts around the world,
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including in the United States, Canada, United Kingdom, India,
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Brazil, Spain, Germany, France, Romania, Saudi Arabia, Japan,
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New Zealand, the Philippines, Code War, Kenya, Nigeria and
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Senegal, targeting a combined population of 2.9 billion
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people. It is an incredible feat to
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scale our business outside of the United States, an effort
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which requires significant scale and commitment from our company,
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our partners and global regulators.
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We continue to make progress on on partner and ecosystem network
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integration and we move closer to service activation in key
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partner markets. We're actively deploying
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hundreds of fixed sales per week.
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As part of this effort were achieved satellite to satellite
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cellular broadband connectivity handoff without disrupting to
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the connectivity experience on the smartphones.
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Additionally, we recently achieved big data speed of an
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incredible 98.9 megabits per second using our Inorbit blog
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one satellites this. Latest record.
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Was conducted over international waters directly to unmodified
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off the shelf smartphones. This achievement is significant
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for several reason if other validate that our satellite
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technology is the only one specifically designed for space
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based direct to device cellular broadband achieving these speeds
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that our partners expect for the customer no matter where they
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are located everywhere in the planet.
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And we're just getting started. We expect our own Orbit Block 2
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Bluebird satellite to nearly double the peak data speed
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recently achieved using our own Orbit Block 1 Bluebird satellite
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when enabled with an office spectrum on a region by region
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basis. St.
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Space Mobile is mobile network operator partner of choice for
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space based cellular broadband because our Bandpipe system
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integration solution work natively with existing
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terrestrial infrastructure and is designed to support a space
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based cellular broadband connectivity.
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Our ecosystem includes nearly 60 global MNO partners covering
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over 3 billion subscribers, including key partners like
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AT&T, Verizon, Vodafone, Rakuten, STC, Bell Canada and
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Telus. Our commercial advancements have
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enabled us to secure over 1.2 billion in contracted revenue
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commitment from our commercial partners and we plan to
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accelerate this as we further deploy our network.
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On the regulatory front, we're granted FCC authorization to
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operate our Bluebird satellite constellation commercially in
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the United States, enabling direct to device connectivity in
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the US on premium low band spectrum in coordination with
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our partners Verizon, AT&T and Firstnet.
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The grant also reflect the FCC recognition of our ability to
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deliver direct to device cellular robot connectivity from
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space and operate alongside terrestrial communication
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network, further validating our unique technology and network
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design. We thank the current
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administration, the FCC and Commissioner Carr for his
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leadership in bringing new technologies online to advise
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United States leadership in space.
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Our comprehensive spectrum strategy leverage our satellite
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technology which is capable of tuning within approximately 1100
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megahertz of low band and mid band tunable MNO spectrum
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globally, including 45 megahertz of MSN lower mid band spectrum
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and 60 megahertz of license S band spectrum priority right
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outside of North America. In particular, the 45 megahertz
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of L band spectrum is currently on use providing us with an
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ample opportunity to drive business again the use of that
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spectrum. Additionally, the lower mid band
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L band spectrum feature higher quality propagation
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characteristics when compared to other MSS frequencies.
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This means more opportunities to grow subscriber capacity and
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bring additional service to targeted markets around the
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world. Alongside our M&O partners, we
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expect the combination of our satellite technology featuring
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the largest phase array in loaded orbits and access to MNO
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chair spectrum, MSS spectrum and AI spectrum management features
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will enable us to effectively multiply spectrum efficiencies
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and develop a completely new layer of connectivity on a
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global scale. The combination of building a
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native space based cellular broadband network with our
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partners first integration design is second to none while
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supported by our extensive IP and patent portfolio of
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approximately 3900 patents and patent pending claims and we
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successfully advanced from early stage R&D to scale deployment of
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satellites and ground based gateways.
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In closing, our company has key assets including IP
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manufacturing, partnerships, spectrum and balance sheet cash
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with approximately 3.5 billion to build and launch over 100
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Bluebird satellites to enable global coverage, office space,
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mobile service. Our team is focused discipline
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and executing against our deployment plan.
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We're encouraged by the progress we're making and the momentum we
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see across our commercial, regulatory and government
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initiatives. And with that, I will turn the
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call back to Scott. Thank you, Abel.
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Since our last business update 10 weeks ago, we have continued
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to execute against the broader commercialization priorities we
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laid out at the start of the year.
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Our key task leading the business is to leverage our
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revolutionary technology deployment and best in class
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partnerships to achieve our 2026 and 2027 revenue objectives as
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we build out the revenue platform for the company to
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maximize long term shareholder value.
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The market pull for our network, the one we're deploying today, a
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global resilient space based cellular broadband network with
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dual use capabilities, it remains extremely strong.
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Against this backdrop, we have recently signed additional
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mobile network operator contracts and received
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additional U.S. government awards. 1st, we announced an
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agreement with Telus as our second partner in Canada, who
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also made an equity investment in ASTS.
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Telus and Bell will be our commercial partners in Canada
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and in Africa. We are pleased to be partnering
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with Axiom Telecom, a Pan African operator in 11 different
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countries, joining our existing agreements with Vodacom, Orange
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and MTN. Our dialogue globally with
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mobile network operators has increased in both volume and
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depth, and we've been building out the broad organizational
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capabilities to support the rollout of Commercial Services
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in these markets. Looking ahead, we expect
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additional M&O agreements to be signed with increasing velocity
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throughout 2026. On the US government side, we
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continue to grow the pipeline with three additional awards
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through Prime contractors. These awards address 3 unique
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use cases across secure communications and non
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communications capabilities, reflecting strong proof points
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ahead of larger contracts. Alongside further developing
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these important national security capabilities, including
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those related to Golden Dome, these awards are expected to
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contribute significantly to 2026 revenue objectives.
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As a reminder, our goal across all our contracts is to develop
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capabilities that could grow into programs of record with
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billions of annual revenue potential in aggregate over the
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medium and long term for missions important to US
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National Security. As a commitment to these
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efforts, we've made significant progress expanding our
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organizational capabilities through AST Space, Mobile's
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wholly owned government and defense subsidiary.
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This alignment enables us to better allocate resources and
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expand our organizational capabilities to best serve the
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US government customer. Transitioning to revenue.
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We achieved nearly 15,000,000 in reported revenue during Q1,
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again driven by milestone achievements under our U.S.
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government contracts and commercial gateway deliveries to
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M and OS. On the commercial side, we saw
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execution with four different customers that contributed to
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revenue in the quarter. With the hardware to deliver
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initial Commercial Services now in their respective regions
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across 5 continents, the ground readiness initiatives that A
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Bell referenced are firmly underway.
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This is an important step to have started during 2025 because
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it gives the teams on the ground time to prepare, deploy real
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hardware solutions for backhaul and integrate with customer
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network cores. This is a very significant
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operational effort that is an important leading indicator
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ahead of commercial service activation. 2026 revenue will
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benefit from this commercial deployment effort as we deliver
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against existing contractual orders and sign new contract
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wins, both of which show a deep pipeline.
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Turning to revenue from our U.S. government business, we executed
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across 5 existing contracts during the quarter, further
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demonstrating the in orbit capabilities of our Bluebird
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satellites. To give you some additional
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color, we advanced milestones under our prime contract with
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the Space Development Agency as part of the Europa Track 2
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Commercial Solutions program under Halo.
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This work is focused on delivering operationally
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relevant tactical communications capabilities directly to
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government and devices. We also advanced our
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communications efforts with milestones against contracts
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where Fairwinds is the prime contractor, some of which is a
16:56
follow on related to our previously demonstrated NTN
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tactical SACCOM capabilities. That field test showcased real
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time connectivity to a tactical assault kit over AVPN with
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multimedia streaming via the tactical assault kit and secure
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multi party video calls all executed on standard unmodified
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smartphones with active participation from US Indo
17:18
Paycom including representation from multiple branches of the
17:21
United States Armed Services. Lastly, we also continue to
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execute against our contract with the Space Development
17:28
Agency through a prime contractor for non
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communications on orbit testing and capability development.
17:37
The progress we are seeing across both commercial and
17:39
government activities supports our confidence in reiterating
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our 2026 revenue guidance of 150 million to $200 million.
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This outlook is supported by our existing contracted pipeline
17:51
with additional upside potential from new government awards.
17:56
What we are seeing in the first half of 2026 is continued
17:58
progress in building out the revenue base ahead of a large
18:01
jump in 2027. As I described in the last call,
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we see the 2027 revenue opportunity approaching a
18:08
billion dollars comprised of revenue both long term,
18:11
contracted or highly recurring in nature.
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We expect this gross to be driven from one, our scaled
18:18
network in orbit for cellular broadband service as it becomes
18:22
available in some of the largest markets worldwide and two,
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providing one or more increasingly scaled use cases
18:29
for the US government. Taken together, we are steadily
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executing across our key priorities remaining focused on
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the critical near term objectives like revenue
18:38
generation, partner ecosystem and scaled network deployment.
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I'm now happy to pass the call over to Andy to walk through our
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financial update. Thanks, Scott, and good
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afternoon everyone. During the first quarter of
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2026, we began executing against our annual revenue plan.
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We continued our manufacturing expansion across our growing
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facilities in Texas and beyond. And importantly, as discussed on
19:05
our 2025 year end call in March, we took significant steps to
19:10
raise critical capital to enable funding our constellation in
19:14
support of our bold objectives in the months ahead.
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Revenue in Q1 came in consistent with our internal plans.
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We expect revenue to build sequentially each quarter during
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2026 with contributions from both commercial gateway revenue
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and U.S. government contracts, which I will discuss further in
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just a moment. Importantly, we remain on track
19:36
to meet our full year 2026 revenue guidance of 150 to $200
19:41
million. With respect to manufacturing,
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we continue to progress toward the achievement of our goals to
19:48
support our active escalating launch schedule through the end
19:51
of this year and beyond. We currently have Bluebird 11 to
19:55
Bluebird 33 in advanced stages of assembly with phased arrays
20:00
completed through Bluebird 28. Our manufacturing progress
20:04
positions us well to support our launch target of approximately
20:09
45 Bluebird satellites in orbit. By the end of 2026, the strength
20:15
of our balance sheet positions us to complete the full build
20:18
out and launch of a constellation of over 100
20:21
Bluebird satellites to provide worldwide space mobile service,
20:25
while also funding the deployment of our controlled
20:28
spectrum bands on a global basis.
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Monetizing the capabilities of our proprietary technology to
20:35
capture the evolving commercial opportunities related to
20:38
artificial intelligence. Enhancing investment in
20:41
government space opportunities in in the United States,
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reducing our higher interest debt and pursuing opportunistic
20:48
investments to accelerate our space mobile services and
20:51
capabilities. AST Space Mobile is proud to be
20:55
the creator and leader in the direct to device industry and we
20:59
continue making investments to move quickly and responsibly to
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bring space based cellular broadband connectivity directly
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to unmodified smartphones. Our intentional focus on
21:10
investing in operational growth led to higher adjusted operating
21:15
expenses in Q1 of 2026, consistent with our expectations
21:20
previously communicated during our fourth quarter and full year
21:23
2025 earnings call. Moving to the operating and
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capital metrics slide, let's review the key metrics for the
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first quarter in more detail. On the 1st chart.
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For the first quarter of 2026, we incurred non GAAP adjusted
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operating expenses of $91.2 million versus 95.7 million in
21:44
the fourth quarter of 2025. As a reminder, non GAAAP
21:49
adjusted operating expenses exclude non cash operating costs
21:53
including depreciation and amortization and stock based
21:57
compensation. The quarter over quarter
21:59
decrease of $4.5 million resulted primarily from a $17.6
22:04
million decrease in adjusted cost of revenues due to lower
22:09
revenue in the quarter, together with a $1.9 million decrease in
22:14
R&D costs, partially offset by a $9.2 million increase in
22:18
adjusted engineering services cost and a $5.8 million increase
22:23
in adjusted general and administrative costs.
22:27
Our Q12026 adjusted operating expenses, excluding adjusted
22:31
cost of revenues were $79.8 million compared to $66.8
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million in Q4 of 2025, which is within the 70 to $80 million
22:44
guidance for adjusted operating expenses previously provided.
22:49
The primary drivers of the increase versus the prior
22:51
quarter were growth in our workforce, including contractors
22:55
and consultants, our expanded production facilities and other
22:59
professional fees, including legal fees related to our
23:02
spectrum usage rights, transactions and regulatory
23:05
initiatives. Turning towards the second chart
23:09
on this slide, our capital expenditures for the first
23:12
quarter of 2026 were approximately $257 million
23:17
versus approximately $407 million for the fourth quarter
23:20
of 2025. This figure was made-up
23:23
primarily of capitalized direct materials and labor for our
23:27
Block 2 Bluebird satellites with the balance relating to facility
23:31
and production equipment expenditures.
23:34
This amount was below the quarterly guidance of 350 to
23:37
$425,000,000 that I provided during our last earnings call.
23:42
Due to a change in the timing of launch contract payments, which
23:46
will now be reflected in our Q2 guidance for the second quarter
23:51
of 2026, we estimate there are adjusted operating expenses,
23:55
excluding adjusted cost of revenues will increase to the
23:58
range of approximately 85 to $95 million as we further absorb the
24:04
full quarter cost of our recently expanded workforce and
24:07
continue growing talent across our organization to scale our
24:12
efforts to design, manufacture, launch and operate our growing
24:16
satellites constellation as well as pursue the monetization of
24:21
our L&S band spectrum usage rights.
24:25
We expect our capital expenditures to increase in Q2
24:29
of 2026 to a range of 575 to $650 million, primarily driven
24:35
by the timing of launch payments related to our near term
24:38
launches, which as I previously explained vary from quarter to
24:42
quarter. To put this quarterly increase
24:44
in capital expenditures into context, had the launch payments
24:48
been made in Q1 like we originally planned instead of
24:51
making them in Q2, our guidance for Q2 capital expenditures
24:55
would have remained in the same general range as Q1.
24:58
Importantly, our continued spend on growth related CapEx reflects
25:02
our increasing satellite production in active orbital
25:06
launch plans. We continue to estimate that the
25:10
average capital costs including direct materials and launch
25:13
costs for our constellation of over 90 Block 2 Bluebird
25:17
satellites will fall in the range of 21 million to $23
25:21
million per satellite, excluding certain initial satellites that
25:26
are used to validate performance and operations.
25:29
Our cost per satellite estimates are subject to fluctuations
25:33
based on dynamic geopolitical factors that could impact our
25:36
costs. As a reminder, the timing of the
25:39
changes in our adjusted operating expenses and capital
25:42
expenditures as I have just described could be delayed or
25:46
may not be realized due to a variety of factors.
25:49
In the first quarter, we recognized revenue of $14.7
25:53
million, primarily driven by commercial gateway deliveries
25:57
and various U.S. government service milestone achievements.
26:01
Our revenue declined during the first quarter as we expected due
26:04
to the timing of gateway deployment to our commercial
26:07
customers and the timing of completion of certain government
26:10
contract milestones. With respect to revenue
26:13
generation, we believe we can enable continuous space mobile
26:17
service across key markets such as the United States, Europe,
26:21
Japan and other strategic markets with the launch and
26:24
operation of approximately 45 to 60 Bluebird satellites.
26:29
An additional strategic worldwide markets with the
26:32
launch and operation of approximately 90 Bluebird
26:35
satellites. Further, as we continue to
26:38
launch and deploy our constellation, we will continue
26:41
to support U.S. government applications currently ongoing
26:45
and accelerating as our constellation grows.
26:49
As we discussed in our Q 4/20/25 earnings call, we expect to
26:53
generate full year 2026 revenue in the range of 150 million to
26:58
$200 million. We manage the top line with the
27:01
focus on full year performance given the quarterly variability
27:05
inherent in our business, including the the timing of
27:08
contract signings, equipment sales and milestone
27:11
achievements. As a result, we believe our
27:14
revenue performance is best evaluated on a full year basis.
27:19
As we continue advancing our launch and network activation
27:22
initiatives, we expect revenue to grow meaningfully each
27:25
subsequent quarter. This year, we expect revenue to
27:29
continue to be driven by gateway deliveries, achievement of
27:32
contracted milestones for the US government, MNO consulting
27:36
services with potential upside related to the recognition of
27:40
initial commercial service revenue.
27:43
Quarterly revenue will likely vary significantly depending on
27:46
achievement of milestones and the timing of customer
27:49
activities. I'd like to remind you that we
27:52
believe that approximately half of a revenue opportunity within
27:55
our commercial pipeline this year is already booked or
27:58
contracted. The remaining portion consists
28:01
of a combination of advanced stage opportunities that have
28:04
not yet been signed as well as net new business we expect to
28:08
secure over the course of this year.
28:11
The achievement of our revenue plan remains subject to several
28:14
contingencies including the successful launch and deployment
28:17
of Block 2 Bluebird satellites related to U.S. government
28:20
applications, contractual milestone achievements, critical
28:24
gateway equipment sales to our M&O partners in support of their
28:27
anticipated commercialization efforts of space mobile service
28:31
and service revenues in connection with the activation
28:34
of our commercial service provided by our existing and
28:37
planned deployed and operational satellites.
28:40
Finally, on the final chart in the slide, our Cash, Cash
28:44
equivalents and restricted cash as of March 31, 2026 was
28:48
approximately $3.5 billion inclusive of cash raised in
28:53
February via the convertible notes offering with a 2.25% ten
28:59
year coupon at an effective strike price of $116.30 per
29:05
share. Our balance sheet continues to
29:08
provide us with financial flexibility to make further
29:11
investments to expedite the timing of and augment the
29:14
capabilities of our Space Mobile service.
29:17
Consistent with our last update, we do not have any plans to
29:21
pursue additional convertible debt in 2026.
29:26
In closing, we're off to a solid start to the year at AST Space
29:30
Mobile. And critically, our 2026
29:33
objectives fully remain in place with full recognition of a
29:37
significant amount of hard work ahead of us.
29:39
Revenue is building on plan and satellite manufacturing is
29:43
increasing to support our orbital launch campaign.
29:46
We look forward to sharing successful launch milestones
29:49
with you in Q2 and throughout the second-half of 2026.
29:54
Thank you for your continued support as we continue the hard
29:56
work of connecting the unconnected at ASD Space Mobile.
30:00
And with that, this completes the presentation component of
30:03
our business update call, and I'll pass it back to Scott.
30:08
Thank you, Andy. Before we go to the queue of
30:10
analyst questions, we'd like to address a few of the questions
30:13
submitted by our investors. Operator, could you please start
30:16
us off with the first question? Scott from Indiana Ask.
30:22
Historically, guidance for Block 2 Bluebirds has targeted peak
30:25
download speeds of 120 megabits per second, presumably requiring
30:29
your propriety ASIC chips. In the last quarterly update, it
30:33
was stated that FM ONE, which does not have this ASIC chip, is
30:37
expected to greatly exceed 120 megabits peak download speeds.
30:41
Can you clarify current expectations on how FM ONE
30:44
versus ASIC enabled Bluebirds are expected to perform?
30:50
Thank you coach for the question.
30:52
Well, this morning we did announce that from the middle of
30:57
nowhere in the middle of the ocean on international waters,
31:02
we did achieve big data rates very close to 100 megabits per
31:07
second as we into standard device without any modification
31:15
to the device, neither require any firmware or software upgrade
31:22
to the device. This device as is today with the
31:29
BB6 which is already in orbit and BB89 and 10 with respect to
31:41
nearly double that capacity. We we think that this in
31:49
addition to AI features that we will implement into the
31:54
satellites large block of spectrum that we'll be adding to
31:59
the network, particularly the L band and the S band MSS
32:04
spectrums that we plan to add into the constellation And AI
32:10
spectrum management features that help us to multiply the
32:13
pursuit performance of the network make this complete
32:21
change of what is possible far, far ahead of any other
32:27
technology that is attempting to enter the market.
32:33
Andreas from New York asks. You have repeatedly emphasized
32:36
that you are in a race against yourself in the field of D2C
32:40
broadband technology. Given the increasing attempts by
32:44
other companies to enter the market, is this still true and
32:48
what lead do you currently see over your competitors?
32:51
What role do your patents play play in keeping the competition
32:55
at Bay? Thank you, Andrea.
32:57
That's a great question. Well, we always from the very,
33:01
very beginning have a focus on delivering cellular broadband
33:10
and for which you need a very large array, you need spectrum
33:16
and and you need the ability to integrate that to partners MN OS
33:24
on that end we have a very unique position.
33:29
We had access through our MNO partners to around 3 billion
33:32
subscribers. We are delivering broadband
33:35
capacity provided obviously there is enough spectrum
33:40
attached to the satellites today within orbit satellites as I
33:46
said earlier, we are on the hundreds of megabits already.
33:50
We plan to nearly double that and we we continue to activate
33:55
8-9 and ten and we launch them in the next few, few few weeks.
34:00
And and then when you put in perspective that when you
34:09
combine a very, very large satellite array with significant
34:16
block of a spectrum, there are a combination between IMTMNO
34:23
partner provider spectrum with our own MSS, we have we have
34:30
access to more spectrum than anybody else also.
34:33
So we we believe that as of today we are the only technology
34:38
that have a space based cellular broadband capability given the
34:46
size and on our architecture and the 3900 patent and patent
34:51
pending claims that we have around our technology.
34:56
Ben from Virginia asks, can you update us on your composite
35:00
readiness? Specifically, are you now
35:03
manufacturing all structural carbon fiber reinforced polymer
35:07
components and reflectors entirely in house?
35:10
And if not, is the plan to? Thank you Ben for the question.
35:18
Listen, the, the, the, the way that we stack the satellites is
35:24
think about tuna cans where you put three of them on one on top
35:32
of another on the Falcon 9, up to 8 of them on the Blue Origin
35:37
and New Glenn rocket or up to five of them in the Balkan Ula
35:44
rocket. So that structure we is our
35:47
design. It was a very, very difficult
35:52
design to achieve because everything that you.
35:55
Have in term of mass get multiplied.
35:58
By the by the G of the rocket. So you have extraordinary amount
36:03
of forces that get applied to the bottom satellites in the RT
36:08
stack. But the answer is yes, we are
36:11
now producing them at rate we own all the IP of how this is
36:18
done. We are extending, we did grew,
36:21
we have over 1000 people dedicated to build these
36:27
compositive structures all, all across our satellites and we are
36:32
now also extending and automating and robotizing how we
36:36
do these structures in Midland. All of these to to achieve and
36:43
keep our six satellites per month fully assembled every
36:47
month where the composite structure it is a very, very
36:52
important aspect of what we needed to do.
36:55
So we're fully vertically integrated.
36:58
We own the IP, we we control the manufacturing of everything on
37:04
our satellites. Around 95% of the bill of
37:06
material from. The composite structures, the
37:09
new composite structures, the how you see that?
37:11
The in the pictures of the manufacturing they, they, they
37:15
turn from aluminum structures to composite that where they look
37:20
black and and then but we also own and control everything down
37:27
to our ASIC in the, in the supply chain of how we build and
37:33
produce our satellites. Not From Indiana also asks any
37:39
perspective you can share on progress made related to Golden
37:42
Dome, Halo Europa or other government contracts.
37:47
I'll take that one. So as I said in my remarks, you
37:51
know, the backdrop for U.S. government contracts is
37:55
continues to be really strong. We most recently saw a budget
37:59
request for the Space Force of over $70 billion, which was by
38:03
far the largest and there was a heavy emphasis on space
38:05
activities. So it's it's a good environment
38:09
for our capability to be maturing and we've been doing a
38:13
lot of both communications and non communications with with the
38:17
agencies who are the big buyers right now with space
38:19
capabilities. So this is the right backdrop.
38:23
We have the right capability. Remember we're currently
38:26
deploying the largest ever phased raise in low Earth orbit
38:30
and that gives us really an unprecedented capability to go
38:34
to regular small low profile handsets as well as do radar
38:41
capabilities. And when you look at the
38:43
backdrop of awards and budgets over the last three to six
38:47
months, there's been a real strong uptick as expected in the
38:52
in the Space Force budget and in allocations related to Golden
38:56
Dome. And specifically, you know,
38:59
we're in a stage now where RFPs are being issued, awards are
39:03
being made for for key elements of Golden Dome that that'll
39:06
relate to us things that you see that are space based radar and
39:10
others. So this is a is a really big
39:12
moment for us. You're going to see some revenue
39:14
coming in through U.S. government that's going to be a
39:17
big contributor to our 2026 revenue.
39:19
And for 2027, those awards that we'll receive or expect to
39:23
receive over the next six months are going to be very significant
39:26
for that effort. And with that, I'd like to thank
39:30
our shareholders for submitting those questions.
39:32
Operator, let's open up the call to analyst questions now.
39:38
Thank you. We will now be conducting a
39:40
question and answer session. If you'd like to ask a question,
39:43
please press *1 on your telephone keypad.
39:46
A confirmation tone will indicate your line is in the
39:48
question queue. You may press *2 to remove
39:51
yourself from the queue. For participants using speaker
39:53
equipment, it may be necessary to pick up the handset before
39:56
pressing the star keys. One moment please while we poll
39:59
for questions. Our first question comes from
40:06
the line of Chris Scholl with UBS.
40:09
Please proceed with your question.
40:12
Great. Thank you for taking the
40:14
questions. Now that you've had a few weeks
40:16
to digest, can you just walk us through what happened with
40:18
Bluebird 7 and what gives you comfort this will not repeat
40:21
going forward and that New Glen can scale accordingly.
40:24
And last quarter, you mentioned you began to integrate your
40:27
satellites with another heavy launch vehicle.
40:29
And I believe I heard you say ula earlier, where does the
40:32
integration process standing? Could we see you rely upon them
40:34
this year? Is this more consideration for
40:36
27 and beyond? Thank you.
40:40
Hey Chris, I'll dive in. So, you know, we were pretty
40:44
open on Bluebird 7, you know, the day of, you know, we, we
40:48
knew what happened immediately and, and we were very open on,
40:51
on what it is. And at the end of the day,
40:53
remember we have 30 through 33 satellites in advanced stage of
40:57
production at the factory. So while it was a loss, we're on
41:01
to the next. So so yeah, I would say that
41:04
we're working closely with Blue. It's they've, they're, they're
41:08
working through the investigation.
41:11
An upper stage anomaly like this is not uncommon early in
41:14
programs. And you know, we feel optimistic
41:17
about them getting back to the pad soon.
41:20
And when you look at their cadence for the year, you know,
41:24
we all know that they landed the booster, which was a was a great
41:26
milestone for their cadence. And now they have two boosters,
41:30
you know, sitting in their integration facility ready to
41:33
get into the cycle. So we think the outlook there
41:36
looks good and, and like I said, we're optimistic.
41:40
And on the the second part of the question, you know, we
41:44
mentioned that we have contracts with SpaceX and Blue Origin and
41:48
others. We're also doing some
41:51
integration activities in there with others to get ready for
41:55
potential launches. And so listen, we, we, we've
41:59
we've designed the rocket as you know in our business strategy to
42:02
be launch vehicle agnostic and we're buyers of launch and
42:06
across the entire heavy launcher footprint.
42:08
So, so we're, we're, we were prepared for this years ago with
42:11
our strategy. We think we selected the right
42:13
partners and we've got good partners on top of that that
42:17
we're working with. OK, great.
42:22
Thank you. Thank you.
42:28
Our next question comes from the line of Scott Serial with
42:31
Warehouse Capital Partners. Please proceed with your
42:33
question. Hey, good afternoon.
42:35
Thanks for taking the question. Maybe just a quick follow up is,
42:39
is there a timeline associated with the the FAA investigation
42:42
of when you would expect that to be concluded?
42:44
And then looking to the expected commercial launch of services at
42:47
the end of this year, how many MN OS are you expecting to be
42:52
live at launch and what are you guys thinking about in terms of
42:55
the the ground station number that we should be expecting by
42:58
the end of calendar 26? So hey, Scott, to the first part
43:07
of the question on Blue, no, there hasn't been a publicly
43:10
disclosed timeline, but like I said, these are these sorts of
43:13
investigations are, are are pretty commonplace and there's
43:17
been some, you know, good track record recently.
43:20
So with other launchers who've had similar issues.
43:23
So listen, we think we're really focused on our next launch
43:27
obviously with Falcon 9 and the next three Bluebirds.
43:30
But like I said, we're we're optimistic with Blue Origin and
43:35
and I think you know we'll be we'll be in a good position
43:37
there. But as you know, we have a multi
43:39
launcher strategy that's been the strategy from the gecko.
43:43
And in terms of what was the second question again, Scott?
43:46
Oh, Scott, just in terms of the number of MN OS you would expect
43:50
to be live with, you know, provided you got 45 satellites
43:53
up in the sky in the fourth quarter, you know how many, how
43:57
many carriers, how many covered Subs should we be thinking about
44:01
in, in terms of that are adjustable from day one of
44:03
launch? Well, it's a global network, as
44:10
you know. So we put a lot more disclosure
44:13
in our remarks today about the regions we're focused on and the
44:17
countries we're focused on. So All in all, where we are
44:21
currently doing ground integration efforts, some which
44:24
are quite advanced like in the United States and and other
44:27
countries in Europe, some others that are getting started.
44:29
It's a, it's a pipeline. There's a lot of countries to
44:31
focus on. But just on the countries listed
44:33
in our deck, you see a population coverage of about 2.9
44:37
billion. So, so in terms of how we
44:39
prioritized amongst that, you've heard from us before key markets
44:43
like the US, Canada, UK, Japan, Saudi.
44:48
So we're we're looking at that list and it's growing every day.
44:51
But we want to give a little bit more incremental detail today
44:54
with that in our deck and and in our remarks on the other
44:57
countries we're focused on. Great.
45:00
Thanks so much. Thank you.
45:06
Our next question comes from the line of Michael Funk with Bank
45:09
of America. Please proceed with your
45:10
question. Yeah, great.
45:13
Yeah, Thank you for the thank you for the question.
45:15
So I want to go back to the launch target.
45:18
I think you talked last quarter about stacking up to 8
45:21
satellites per launch. And so just just wondering about
45:25
the hurdles authorizations required to to get to the 8.
45:30
And then Abel earlier in the in the call you, you mentioned you
45:36
know deploying AI edge computing features, I think the next
45:39
generation of satellite and want to get a better understanding of
45:42
how that's going to improve either the efficiency or
45:45
performance of next generation satellite.
45:50
Yeah, let me let me answer first the first question.
45:55
As I explained earlier in the call, we do have now the
46:00
technology and we are manufacturing that at rate which
46:05
is basically the technology to be able to to stack multiple
46:09
launches, multiple satellites in a single launch.
46:13
The the, the way that we do it is basically on, on New Glen we
46:21
can stack up to 8. In Vulcan, we can stack up to
46:26
five and in Falcon 9 we can stack up to three.
46:30
And, and this is self-contained, it's structurally full
46:34
composite. It is manufactured under an IP.
46:39
We are also growing, We have over 1000 people dedicated to
46:43
build these structures where they're very, very difficult to,
46:46
to, to build and test. But we are now very close to
46:52
getting six of them every month and being able to stack it with
46:56
each of the different launch, launch, launch partners.
47:02
To your second question about AI, we, we are not in the in the
47:10
plane of of a hyperscaler systems in space.
47:16
But what we are incorporating to our satellites which you will
47:20
start seeing in the production batches towards the end of the
47:24
year is the ability to edge compute and load AI capabilities
47:30
on board that can be very efficiently integrated also to
47:36
the UE's for for a for a variety of uses around around AII
47:46
received relate to AI spectrum management.
47:50
Basically you fly, you have a resources to do to administrate
48:00
dynamically the basically power and spectrum.
48:05
As you know, we can, we can tune within 1100 megahertz of a
48:10
spectrum and then we have blocks of a spectrum with our M&O
48:16
partners that's called IMT spectrum that we can tune
48:24
country by country, location by location.
48:27
And also we had our MSS and the AI spectrum management is a
48:32
system behind all of that, that basically predict traffic,
48:37
predict location, predict where people are and then allocate
48:40
that very, very intelligently. Remember on a satellite you have
48:44
2800 square kilometers of view of what's going on underneath
48:47
you. And AI basically have the
48:51
ability to predict where the traffic will be as the
48:55
satellites move and dynamically allocate resources into into the
49:01
satellite. That's typically the power or a
49:05
spectrum. And the the end result of that
49:08
is that the perceived use of perception of what amount of
49:12
spectrum it is used of how efficient it is.
49:16
It is. It is a multiple because you
49:18
basically can play with the whole field of view in how you
49:22
allocate dynamically the spectrum square kilometer by
49:26
square kilometer. Great.
49:29
Thanks. Thank you so much for that.
49:35
Thank you. Our next question comes from the
49:37
line of Mike Crawford with B Riley Securities.
49:39
Please proceed with your question.
49:42
Thank you. Just to clarify with the AST
49:47
5000 ASIC that that's been expected to enable 120 megabit
49:51
per second peak data speeds, but is it the AI spectrum management
49:55
that that that gets you up closer to to 200 megabits per
50:00
second by year end? And then and then also on the
50:05
non communications capabilities that you're developing in
50:09
conjunction with the with the SDA, would I be, would we be
50:13
correct in assuming we're talking about mid band military
50:18
radar? So that's something that we're
50:19
not going to see with the initial Bluebirds that are that
50:23
are launching now. But once you incorporate L band
50:27
and excuse me, S band into the satellites.
50:32
Yeah. Let me talk with the with the
50:35
with the defense capability. I will not be able to describe
50:39
it on on this forum, but basically it's a non
50:42
communication capability that use the same the same, the same
50:46
hardware that that that we use on, on, on on our commercial
50:50
satellites and that's been in use today.
50:54
And as Scott mentioned, they're using it today.
50:59
They plan to extend drastically how they use it and that is a
51:04
non communication application for defense purposes the the the
51:12
and before we. Leave that topic, Mike.
51:18
It's important to note that that does not require mid band
51:20
spectrum. That's something we can do with
51:23
low band spectrum which we're deploying, which we've deployed
51:25
today, right? Correct.
51:28
Then as you relate to the ASIC, the Asic's complete is is being
51:33
incorporated into into the production line.
51:37
The ASIC basically allowed us to upgrade the amount of bandwidth
51:46
we can manage with the for each satellite.
51:50
So on the FPGA satellites, we had a run of 1 gigahertz of a
51:57
spectrum. With the ASIC SATA, we have 10
52:00
gigahertz of a spectrum. So it's a factor of 10 increase
52:04
on number of gigahertz that can be constantly used per
52:09
satellite. The big data rates are actually
52:12
not dependent on the FPGA or ASIC.
52:16
That's. How many of those connection you
52:18
can have simultaneously? And do not rely on the AI in
52:25
order to get to to the 100 megabits per second that we have
52:29
on an SPGA satellites that are actually the smaller initial
52:34
satellites and respect to double the 98 megabits per second that
52:39
we have. We are using the BB6 which is in
52:43
the ready orbit on the a nine and 10 that we will launch here
52:48
very quickly that do not require the the the ASIC or the AI
52:52
management and that's pure big data rate per sale.
52:57
The AI management is basically when you is is an is, is is a
53:02
way to intelligently distribute that big pipe of 10 gigahertz or
53:07
one gigahertz depending on the version of the satellite
53:10
intelligently where the users are and predicting where the
53:13
users are going to be in order to allocate a slide of that ten
53:20
gigahertz where the traffic is needed.
53:24
And do it, do it, do it dynamically and proactively
53:30
using AI agent of our own. OK.
53:36
Thank you very much. Thank you.
53:44
Our next question comes from the line of Brian Craft with
53:46
Deutsche Bank. Please proceed with your
53:48
question. Hi, good afternoon.
53:52
Apologies for the the multi part kind of long question, but I
53:56
really had a few questions I wanted to ask you around launch.
54:00
I guess first, do you have contracted launch capacity to do
54:06
an average of basically one launch per month from June
54:10
through December, because I think that's what you need to do
54:12
in order to get close to that 45 number.
54:16
And then how diversified is the launch mix and, and what if you
54:23
can only do say one more new Glen launch this year, could you
54:26
still get close to that 45? You know, I don't know if this
54:31
is the first time I think you've mentioned Vulcan.
54:34
So I was wondering, you know, how much launch you were able to
54:36
secure there and if that could fill that gap in.
54:42
And then it sounds like you've made great progress on the
54:45
manufacturing side with 11 through 33 in production.
54:51
Is the next batch of satellites going to be ready to ship for
54:54
say a July launch? And then the last thing I wanted
54:59
to ask you about is on the stacking, do you sort of need to
55:03
work your way up to the Max of those ranges?
55:09
In other words, you know on the next New Glen, can you go right
55:12
to 8 or do you have to or or? Or would you prefer?
55:15
To say, do 3 or 4 to make sure it goes smoothly and then, you
55:19
know, 5 to 6 and then go to 7:00 to 8:00.
55:22
Or are you just going to kind of fill these things up going
55:25
forward? So thank you.
55:28
Hey, Brian. So, yes, we do have contracted
55:32
launch capacity to meet our target for the for 2026.
55:36
And, and the way to think about it is basically, you know, a
55:39
handful of Blue Origin launches and a handful of SpaceX or
55:44
equivalent launches. And, and that's what gets us to
55:47
the approximately 45, You know, we, we know that Blue Origin
55:52
just suffered an anomaly, right? But we're we're we're optimistic
55:56
about the return of the pad and the fact that they land, they
55:59
have two boosters is, is, is a massive support for the the, the
56:04
cadence that we have always expected and then we have
56:07
contracted. So, so that's how we think about
56:09
the mix and how we get to that 45 number on the manufacturing
56:15
side. We definitely, yeah, we, we have
56:18
capacity to to keep knocking out launches one after another.
56:22
Absolutely. You can see that on the the page
56:25
in the deck. So give it given where we are,
56:28
we expect to have more satellites each month to be
56:31
ready for for launch and and we'll of course as we have
56:35
update the public, you know 30 to 6090 days ahead of launch as
56:39
those are down selected and confirmed.
56:42
And then on stacking, I think you you pretty much captured it
56:45
Brian. I mean we expect on the next New
56:48
Glenn will will launch for satellites.
56:51
Part of that is kind of ramping into the stacking capability and
56:54
also of course managing where they are in the program.
56:57
But you know, we're, we're very mature now in the three stack
57:01
and and we're going to be doing that very shortly and the four
57:04
stack likely shortly thereafter. And then yeah, 678, you know,
57:09
that's how we get to our, our constellation size, right.
57:12
That's why we've selected the the vehicles we have and plan to
57:15
make use of of as much of the capacity of each of the Rockets
57:19
as we have available. That that's very helpful.
57:23
Scott, if I could just ask one follow up, where, where does ula
57:28
fit into that? You mentioned handful of Blue
57:30
Origin, handful of SpaceX. Is, is Vulcan sort of the backup
57:35
or are you going to use them as well?
57:37
Just just curious, you know why that came into the conversation
57:40
today? Our strategy has always been to
57:46
have many launch providers, right?
57:48
And so I put that in that that category.
57:52
We've been developing other heavy launch providers for some
57:54
time and and we'll have more updates as appropriate.
57:58
But right now, you know, we plan to use Blue Origin and SpaceX
58:02
and and equivalents to the Max. OK.
58:05
Thank you. Thank you.
58:10
Our next question comes from the line of Louis De Palma with
58:12
William Blair. Please proceed with your
58:14
question. Good.
58:16
Afternoon Abel Scott and Andy Abel.
58:25
What? Great.
58:27
Abel and Scott and Andy, what do you view as the the impact of
58:33
Amazon's acquisition of a global star?
58:37
And do you view any potential partnership opportunities with
58:42
Amazon as they seem to be very much in the early stages of
58:48
entering this industry? Listen, we, that's a complicated
58:57
transaction in the sense that that capacity and that
59:02
capability, it is already on the phones through the iPhones.
59:07
And basically we, we, we see the capability as ASOS emergency
59:18
system our and, and we also see that here really at the end of
59:26
the day to provide broadband, you need to have hundreds of
59:29
megahertz of a spectrum allocated.
59:32
So we're obviously here talking about in the case of global star
59:36
on a very small fraction of that.
59:41
So we don't see that changing dramatically in the foreseeable
59:45
future of what the capability is today.
59:47
And we don't, we don't see any, any real change of the landscape
59:53
at least at for for the next several years when you think
1:00:00
about some of our partners and you combine their spectrum.
1:00:06
IMT 3 GPP already on the phone spectrum that they are allocated
1:00:10
to us plus our 50 megahertz of spectrum and MSS either on the L
1:00:16
band and the S band you're talking about in some cases with
1:00:19
some partners all the way up to 100 megahertz of allocated the
1:00:23
spectrum. So, so our focus is broadband.
1:00:27
Our focus is of course the broadband will come as we enable
1:00:32
the spectrum in a combination of our partner spectrum in low band
1:00:39
and then later our mid band low band spectrum in, in the L band.
1:00:46
We, we, we see that that's a complete different proposition
1:00:50
and, and, and different. And we quite frankly, no, nobody
1:00:53
is nowhere close in to the capabilities that we have
1:00:57
technically to deliver hundreds of megabits directly to a phone
1:01:02
from something that is flying at 70,000 mph, 500 kilometers above
1:01:06
you. And, and that, that, that, that
1:01:10
competitive advantage of that capability unique.
1:01:12
And that's, that's that what we make available to, to to our M&O
1:01:17
partners. Great.
1:01:21
And another question I'm following up on the, the trial
1:01:25
that was announced this morning that generated the.
1:01:28
Peak downlink of of 99 megabits. Per second, do you have a sense
1:01:33
of what the average downlink you know would look like for, you
1:01:39
know, block 2 satellites when you and your your partner's
1:01:43
launched the the trials later this year?
1:01:46
Yeah, I think the, the, the talk about peak and average is, is
1:01:53
tricky because also depends on what is transiting through the
1:01:56
through the applications on the phone.
1:01:58
So that when we tend to focus about peak, but the big data
1:02:02
rate for for our larger BB 6, which is in orbit and a nine and
1:02:09
10, it is approximately double of what we disclosed this
1:02:14
morning. So you're talking about closer
1:02:17
to the 200 megabits per second. And and that's that's that's
1:02:22
peak and and and average it depend what you're transiting is
1:02:27
small packages, packages or. Large packages and.
1:02:31
How you interact, right, demo network capacity is pretty much
1:02:37
double of what we disclosed this morning around double what we
1:02:41
disclosed this morning. Great.
1:02:45
Thanks everyone. Thank you.
1:02:52
Our next question comes from the line of Chris Quilty with Quilty
1:02:54
Space. Please proceed with your
1:02:56
question. Thanks guys.
1:02:59
I just want to do a quick follow up on the, excuse me, the non
1:03:04
communication satellite effort on the defense side.
1:03:08
You know, since your satellites were specifically designed as a
1:03:11
communication platform, does that imply that you're going to
1:03:14
have to do, you know, large redesign of satellites and
1:03:18
adding things like optical cross links and on board processing
1:03:21
and pointing mechanisms? Or and if so, is that something
1:03:27
that would be customer you know and are refunded or something
1:03:30
that you know you're putting the capital for?
1:03:34
Hey, Chris, I mean we, we are, we, we didn't start working with
1:03:38
it with, with, with our department award this year, not
1:03:43
even last year. This is have been many, many,
1:03:46
many, many years in the coming. So all the capabilities that
1:03:50
they require are already built in, in what we are producing on
1:03:53
the on the line. There will be additions as per
1:03:58
the request and are not permitted to to discuss.
1:04:03
But basically the core capability of what they're
1:04:06
using, it was incorporated many years back.
1:04:12
Great. And Speaking of government
1:04:15
defense budgets, assuming the administration, you know, gets
1:04:18
through this reconciliation package, there's a huge
1:04:22
generational budget increase. Can you name the specific
1:04:26
programs where you think AST you know has an opportunity to
1:04:30
target? Or are you expecting that most
1:04:32
of your opportunities are going to be on the classified side?
1:04:38
It is a combination and a lot have to a lot related as the as
1:04:46
the government have made it public by themselves around the
1:04:50
Golden Dome. But we are basically in all
1:04:58
aspects of government usage were presence from Firstnet from the
1:05:05
classified to all the way to the to to the golden Dome.
1:05:09
So for communications and known for communication and non
1:05:13
communication capabilities. We, we, we we see ourselves as a
1:05:18
very important asset to our government multi utility.
1:05:23
And and as I said, this is have been years developing for them.
1:05:30
They're using it today and respect, respect a very
1:05:37
significant growth in revenue and opportunity in all aspects
1:05:42
of government usage of our technology.
1:05:47
All right. Thank you.
1:05:52
Thank you. Our next question comes from the
1:05:55
line of Greg Pendy with Clearstreet.
1:05:57
Please proceed with your question.
1:05:59
Hey guys, just a real. Quick one when you do hit 45
1:06:02
satellites. On the launch.
1:06:05
Side what is the commissioning time period we should be
1:06:08
thinking about until sort of deactivation with service with
1:06:12
MN OS? Yeah, currently, you know are we
1:06:17
are we are we do it on the first satellites.
1:06:20
I mean the satellite, these satellites are the largest
1:06:23
satellites face arrays ever, ever deployed.
1:06:26
So it took longer that it will take on the common satellite.
1:06:33
So they target the 45 days. That's that's what we are
1:06:37
planning with the MN OS every time that we launch in 45 days,
1:06:40
which will be using either 5G or 4G connectivity through them.
1:06:46
And but we keep launching we we plan to reduce that time frame
1:06:51
for 45 all the way down to two weeks.
1:06:54
We don't want, we don't want to promise that in the in the early
1:06:57
batches of satellites. Great.
1:06:59
And then just one more. As you're looking at this multi
1:07:02
launch strategy plan and adding, you know, new launch partners,
1:07:07
any thoughts if Neutron from Racket Labs is available in 2027
1:07:11
on what type of capacity and if that would be a potential other
1:07:16
partner in the launch strategy? Hey, yeah, we're, we're not
1:07:22
going to comment on, you know, other launch providers, but
1:07:25
you've heard our commentary today about who we're, who we're
1:07:27
looking at, but we're, we, we, we like launch providers.
1:07:30
We, we, we like to launch with them.
1:07:32
Our satellites are designed to fit and all the standard 5M
1:07:35
fairings and, and larger ones as well.
1:07:37
So, so we, I think that's what we'll we'll say at this time.
1:07:42
OK, great. I appreciate it.
1:07:45
Thanks. Thank you.
1:07:49
And we have reached the end of the question and answer session.
1:07:52
I would now like to turn the floor back over to Scott
1:07:54
Wisniewski for closing remarks. Thank you, operator.
1:07:59
We want to thank all of our shareholders and research
1:08:01
analysts for joining the call. Really appreciate it.
1:08:03
Have a great week. Thank you.
1:08:08
And this concludes today's conference and you may
1:08:10
disconnect your lines at this time.
1:08:11
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1:08:21
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1:08:24
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1:08:38
Thanks again and I'll see you next time.
1:08:44
Or doing something very, very big.
1:08:45
And I think with this technology, we can really affect
1:08:48
billion lives. ASP Space globally is the only
1:08:51
company that has. Full.
1:08:53
Technology to deliver cellular broadband connectivity directly
1:08:57
from space to do everyday smartphone.
1:09:00
People will just basically turn their phone and be seamless,
1:09:03
regardless of where you are. We don't want the user even to
1:09:06
know that it's connected by satellite.
1:09:09
Our role is to bring this into reality, always in partnership
1:09:13
with the MMO.