Memorandum of Understanding Would Explore Opportunities for New Telecommunications and Digital Solutions in Saudi Arabia
MIDLAND, Texas, February 09, 2023--(BUSINESS WIRE)--AST SpaceMobile, Inc. (NASDAQ: ASTS), the company building the first and only space-based cellular broadband network designed to be accessible directly by standard mobile phones, today announced a non-binding memorandum of understanding ("MoU") with Zain KSA ("Zain"), a leading telecommunications ("telecom") operator and a digital service provider in Saudi Arabia. The signing took place at the international LEAP 2023 Tech Conference in Riyadh.
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The MoU would enable AST SpaceMobile and Zain KSA to collaborate towards new telecom solutions and satellite-based digital services in Saudi Arabia and aim to increase access to mobile services in remote locations, including on land, at sea and in flight.
"We are thrilled to cooperate with Zain in Saudia Arabia. We hope this collaboration will further access to reliable, space-based cellular broadband for current and future mobile users in the country," said Chris Ivory, Chief Commercial Officer of AST SpaceMobile.
"We are committed to expanding our digital services and communications to deliver an inclusive ecosystem that covers the whole Kingdom with the highest service quality and reliability, thereby enhancing our role in achieving a more connected and sustainable world," said Eng. Abdulrahman Al-Mufadda, Chief Technology Officer of Zain KSA. "We are confident that our collaboration with AST SpaceMobile, could help to potentially provide space based cellular broadband connectivity in the Kingdom, particularly in remote areas. In doing that, we reaffirm our commitment to ensuring that every citizen and resident in this precious land is connected wherever they may be."
AST SpaceMobile's mission is to eliminate the connectivity gaps faced by today's five billion mobile subscribers moving in and out of coverage zones and bring cellular broadband to approximately half of the world's population who remain unconnected. Other partners in this effort include leading global wireless infrastructure companies such as Rakuten Mobile, Vodafone Group, American Tower and AT&T.
About AST SpaceMobile
AST SpaceMobile is building the first and only global cellular broadband network in space to operate directly with standard, unmodified mobile devices based on our extensive IP and patent portfolio. Our engineers and space scientists are on a mission to eliminate the connectivity gaps faced by today’s five billion mobile subscribers and finally bring broadband to the billions who remain unconnected. For more information, follow AST SpaceMobile on YouTube, Twitter, LinkedIn and Facebook. Watch this video for an overview of the SpaceMobile mission.
About Zain KSA
Zain KSA is a leading telecom provider established in Saudi Arabia on August 2008 as a listed company. In due respect to its highly developed infrastructure, the company was successful in establishing itself as a reliable telecom operator and a digital service provider whose services include telecom services, 5G network, digital payment services, cloud computing, IoT solutions, fiber services, drones, and many others.
This communication contains "forward-looking statements" that are not historical facts, and involve risks and uncertainties that could cause actual results of AST SpaceMobile to differ materially from those expected and projected. These forward-looking statements can be identified by the use of forward-looking terminology, including the words "believes," "estimates," "anticipates," "expects," "intends," "plans," "may," "will," "would," "potential," "projects," "predicts," "continue," or "should," or, in each case, their negative or other variations or comparable terminology.
These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside AST SpaceMobile’s control and are difficult to predict. Factors that may cause such differences include, but are not limited to: (i) expectations regarding AST SpaceMobile’s strategies and future financial performance, including AST’s future business plans or objectives, expected functionality of the SpaceMobile Service, anticipated timing and level of deployment of satellites, anticipated demand and acceptance of mobile satellite services, prospective performance and commercial opportunities and competitors, the timing of obtaining regulatory approvals, ability to finance its research and development activities, commercial partnership acquisition and retention, products and services, pricing, marketing plans, operating expenses, market trends, revenues, liquidity, cash flows and uses of cash, capital expenditures, and AST’s ability to invest in growth initiatives; (ii) the negotiation of definitive agreements with mobile network operators relating to the SpaceMobile service that would supersede preliminary agreements and memoranda of understanding; (iii) the ability of AST SpaceMobile to grow and manage growth profitably and retain its key employees and AST SpaceMobile’s responses to actions of its competitors and its ability to effectively compete; (iv) changes in applicable laws or regulations; (v) the possibility that AST SpaceMobile may be adversely affected by other economic, business, and/or competitive factors; (vi) the outcome of any legal proceedings that may be instituted against AST SpaceMobile; and (vii) other risks and uncertainties indicated in the Company’s filings with the SEC, including those in the Risk Factors section of AST SpaceMobile’s Form 10-K filed with the SEC on March 31, 2022.
The planned testing of the BlueWalker 3 ("BW3") test satellite may not be completed due to a variety of factors, which could include loss of satellite connectivity, destruction of the satellite, or other communication failures, and even if completed as planned, the BW3 testing may indicate adjustments that are needed or modifications that must be made, any of which could result in additional costs, which could be material, and delays in commercializing our service. The production and launch of our BlueBird satellites may not be completed as currently contemplated due to a variety of factors, which could include results of BW3 testing, challenges in completing our assembly and production facility, launch difficulties, or supply chain shortages, any of which could result in additional costs or delays, which could be material. If there are delays or issues with our testing of BW3 or production and launch of BlueBird satellites, it may become more costly to raise capital, if we are able to do so at all.
AST SpaceMobile cautions that the foregoing list of factors is not exclusive. AST SpaceMobile cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. For information identifying important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, please refer to the Risk Factors incorporated by reference into AST SpaceMobile’s Form 10-K filed with the SEC on March 31, 2022. AST SpaceMobile’s securities filings can be accessed on the EDGAR section of the SEC’s website at www.sec.gov. Except as expressly required by applicable securities law, AST SpaceMobile disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
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