AST SpaceMobile launches first commercial satellites

AST SpaceMobile (ASTS) has successfully launched its first five commercial satellites, which will offer non-continuous cellular broadband services across the US. Market Domination Hosts Julie Hyman and Josh Lipton report more on the story and why the stock is sliding during Thursday's trading session.

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This post was written by Melanie Riehl

Video transcript

Last ticker here moving in on to a ST Space Mobile.

That company announcing the successful launch of its first five commercial satellites called Bluebirds.

After launch, the Bluebirds satellites are planned to offer non continuous cellular broadband service across the US.

Um So this does have a two day rallies.

Telecom company went public in 21.

Merged with the spec this week, they did launch their first five commercial satellites into low earth orbit.

Uh Bloomberg said its satellites are about the size of a one bedroom apartment julie that it's among a few firms trying to basically provide broadband cellular connectivity through low orbiting satellites rather than cell towers.

Um Investors have piled into this name stocks at more than 300% though to your favorite sta it looks like it too short.

Yeah, exactly.

So you definitely have had a short squeeze going on this year.

I mean, basically as you said, it came public through uh a spec in 2021 and pretty much did nothing for a long time.

And then it started signing some contracts with mostly the large telecom companies, AT&T T Mobile and Verizon all signed contracts to um provide wireless service from space to those companies.

And that's when you really saw the stock uh take off, it's still a lot smaller than SpaceX, which is its big competitor.

And by the way, SpaceX also had a little bit of news today.

There was a spacewalk.

Um So there has been this week, a lot of focus on this area of space and this looks like sort of a sell the news kind of reaction after the big c that we did not a ton of coverage on the street, which makes sense, you know, p size guy.

But what there is very positive five buys, zero holds zero sales.