AST SpaceMobile is building a reusable rocket called Blacklift to launch its BlueBird satellites starting in late 2028, aiming to reduce its dependence on SpaceX. This move is significant, as the company has launched 13 BlueBirds to date, including eight Block 2 variants, using SpaceX’s Falcon 9, Blue Origin’s New Glenn, and India’s Launch Vehicle Mark-3.
Background And History
AST SpaceMobile, a satellite designer and manufacturer based in Midland, Texas, has been working to deploy a constellation of direct-to-device satellites, providing 4G and 5G broadband coverage globally. The company was founded in May 2017 by Abel Avellan, who remains the chairman and CEO. Avellan previously worked for Swedish telecommunications conglomerate Ericsson and founded Emerging Markets Communications, a satellite-based communications services provider, which was acquired in 2016 for $550 million.
How It Works
The Blacklift rocket is designed to be reusable and carry up to five BlueBirds per launch. AST SpaceMobile has signed a deal with Firefly Aerospace to provide the engines, Miranda and Vira, for the first three Blacklift launches. After that, the company will build the engines itself under a licensing agreement with Firefly. The Miranda engine will power Blacklift’s booster, and the Vira engine will power the upper stage. The licensing agreement cost AST SpaceMobile about $800 million, with half paid in cash and half in stock.
The Numbers
The deal with Firefly Aerospace is worth over $1.3 billion over three years, covering 27 Miranda and nine Vira engines, plus the license and engineering support. The Blacklift rocket is expected to haul 20 tons to low Earth orbit, allowing it to loft up to five BlueBird satellites per launch. For perspective, the Falcon 9’s low Earth orbit lift capacity is about 25 tons.
What It Means Now
By developing its own reusable rocket, AST SpaceMobile aims to reduce its dependence on SpaceX and gain more control over its launch schedule. The company’s partners, including Verizon and AT&T, are likely to support its business growth, given the competition they face from SpaceX. The delay in launching satellites is not likely to kill the investment thesis, as the company has ample time and access to capital to keep moving forward. As AST SpaceMobile’s founder, chairman, and CEO Abel Avellan said, “The Blacklift rocket is the springboard to significantly expand our total addressable market, providing AST SpaceMobile with regular unconstrained access to orbit and providing for most favorable owners’ economics in the industry.”
AST SpaceMobile plans to unveil the Blacklift rocket in New York on November 12. The company’s move to develop its own reusable rocket is a significant step towards reducing its dependence on SpaceX and achieving its goal of providing global connectivity. With a long list of partners and access to capital, AST SpaceMobile is likely to keep moving forward, despite the delay in launching satellites. On November 12, the company will take a major step towards unveiling its plan for the Blacklift rocket.
Sources
- AST SpaceMobile Is Building Its Own Reusable Rocket to Rely Less on SpaceX
- AST SpaceMobile
- AST SpaceMobile (ASTS) Stock May Be Fully Valued As Satellite Handoff Progresses
- AST SpaceMobile to develop own rocket using Firefly engines
- AST SpaceMobile announces new 'Blacklift' rocket, targets 2028 launch debut
- AST SpaceMobile Just Admitted It Won't Hit 45 Satellites This Year. Is the 10-Bagger Thesis Dead, or Just Delayed? | The Motley Fool
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