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SpaceX to launch AST SpaceMobile’s first space-based cell towers

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AST Space Mobile says it has chosen SpaceX to launch its first operational BlueBird satellite after contracting the company to launch BlueWalker 3, its first major prototype.

An SEC filing made around the same time states that AST SpaceMobile will pay SpaceX at least $22.75 million to “adjust” its upcoming BlueWalker 3 launch contract, cover an “initial payment” for the launch of BlueBird 1, and pay the reservation fee for a second launch for BlueBird 2. While only representing three probably ‘launch service agreements,’ the decision sets SpaceX up to be the company’s primary launch provider for a constellation of as many as 243 large communications satellites.

While choosing SpaceX – the most affordable and available launch provider on Earth – is far from unexpected, the satellites SpaceX will be launching for AST are anything but traditional. Driven largely by the technical requirements of AST SpaceMobile’s goal of directly connecting unmodified mobile phones to the internet through satellite in orbit, the company has completely ignored the relatively common satellite design trope of a central ‘bus’ with two solar array ‘wings.’

Instead, AST’s BlueBird satellites will launch with their antennas effectively folded around their ‘bus’ like a giant origami cocoon. Once in orbit, using a fairly elegant extension of normal solar array deployment mechanisms, the satellite’s antenna will slowly unfold and eventually return to its default shape – a giant, flat surface. For a number of reasons, AST SpaceMobile recently decided to halve the total area of its BlueBird satellites, but the new design will still feature an immense antenna with a surface area of about 450 square meters (~4800 square feet). Only the United States’ classified Orion spy satellites likely eclipse the size of the antennas AST wants to deploy in space.

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Thanks to those massive antennas, though, AST says its BlueBirds will theoretically be able to “reach over 700 million unconnected people,” though it’s less clear how many users the constellation – or a single satellite – will be able to simultaneously support. Additionally, located in low Earth orbit (LEO), an uninterrupted connection will only be possible once a string of satellites have been launched into roughly the same orbital plane. Until then, the service will be intermittent – a huge boon for emergency communications in remote areas but hard to use for much else in the interim.

BlueWalker 3, a prototype satellite, aims to demonstrate AST SpaceMobile’s relatively exotic satellite design while simultaneously (with any luck) showing that it can connect hundreds or thousands of unmodified phones to the internet as if it were an ordinary cell tower. AST says it has already demonstrated the space-to-ground connection in a clever way by launching what amounts to mobile phone turned into a cubesat and then using that orbital phone to connect to a simulated cell tower satellite back on Earth. Developed for about $70 million, BlueWalker 3 will weigh about 1.5 tons (~3300 lb) and attempt to deploy a smaller but still representative 65-square-meter (~693 sq ft) origami-like antenna.

AST SpaceMobile hasn’t confirmed a launch date and is still working on the satellite prototype but its latest “summer 2022” target suggests it will launch on SpaceX’s Transporter-5 rideshare mission as early as June 2022.

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Eric Ralph is Teslarati's senior spaceflight reporter and has been covering the industry in some capacity for almost half a decade, largely spurred in 2016 by a trip to Mexico to watch Elon Musk reveal SpaceX's plans for Mars in person. Aside from spreading interest and excitement about spaceflight far and wide, his primary goal is to cover humanity's ongoing efforts to expand beyond Earth to the Moon, Mars, and elsewhere.

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Musk bankers looking to trim xAI debt after SpaceX merger: report

xAI has built up $18 billion in debt over the past few years, with some of this being attributed to the purchase of social media platform Twitter (now X) and the creation of the AI development company. A new financing deal would help trim some of the financial burden that is currently present ahead of the plan to take SpaceX public sometime this year.

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Credit: SpaceX

Elon Musk’s bankers are looking to trim the debt that xAI has taken on over the past few years, following the company’s merger with SpaceX, a new report from Bloomberg says.

xAI has built up $18 billion in debt over the past few years, with some of this being attributed to the purchase of social media platform Twitter (now X) and the creation of the AI development company. Bankers are trying to create some kind of financing plan that would trim “some of the heavy interest costs” that come with the debt.

The financing deal would help trim some of the financial burden that is currently present ahead of the plan to take SpaceX public sometime this year. Musk has essentially confirmed that SpaceX would be heading toward an IPO last month.

SpaceX IPO is coming, CEO Elon Musk confirms

The report indicates that Morgan Stanley is expected to take the leading role in any financing plan, citing people familiar with the matter. Morgan Stanley, along with Goldman Sachs, Bank of America, and JPMorgan Chase & Co., are all expected to be in the lineup of banks leading SpaceX’s potential IPO.

Since Musk acquired X, he has also had what Bloomberg says is a “mixed track record with debt markets.” Since purchasing X a few years ago with a $12.5 billion financing package, X pays “tens of millions in interest payments every month.”

That debt is held by Bank of America, Barclays, Mitsubishi, UFJ Financial, BNP Paribas SA, Mizuho, and Société Générale SA.

X merged with xAI last March, which brought the valuation to $45 billion, including the debt.

SpaceX announced the merger with xAI earlier this month, a major move in Musk’s plan to alleviate Earth of necessary data centers and replace them with orbital options that will be lower cost:

“In the long term, space-based AI is obviously the only way to scale. To harness even a millionth of our Sun’s energy would require over a million times more energy than our civilization currently uses! The only logical solution, therefore, is to transport these resource-intensive efforts to a location with vast power and space. I mean, space is called “space” for a reason.”

The merger has many advantages, but one of the most crucial is that it positions the now-merged companies to fund broader goals, fueled by revenue from the Starlink expansion, potential IPO, and AI-driven applications that could accelerate the development of lunar bases.

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Tesla pushes Full Self-Driving outright purchasing option back in one market

Tesla announced last month that it would eliminate the ability to purchase the Full Self-Driving software outright, instead opting for a subscription-only program, which will require users to pay monthly.

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Credit: Tesla

Tesla has pushed the opportunity to purchase the Full Self-Driving suite outright in one market: Australia.

The date remains February 14 in North America, but Tesla has pushed the date back to March 31, 2026, in Australia.

Tesla announced last month that it would eliminate the ability to purchase the Full Self-Driving software outright, instead opting for a subscription-only program, which will require users to pay monthly.

If you have already purchased the suite outright, you will not be required to subscribe once again, but once the outright purchase option is gone, drivers will be required to pay the monthly fee.

The reason for the adjustment is likely due to the short period of time the Full Self-Driving suite has been available in the country. In North America, it has been available for years.

Tesla hits major milestone with Full Self-Driving subscriptions

However, Tesla just launched it just last year in Australia.

Full Self-Driving is currently available in seven countries: the United States, Canada, China, Mexico, Australia, New Zealand, and South Korea.

The company has worked extensively for the past few years to launch the suite in Europe. It has not made it quite yet, but Tesla hopes to get it launched by the end of this year.

In North America, Tesla is only giving customers one more day to buy the suite outright before they will be committed to the subscription-based option for good.

The price is expected to go up as the capabilities improve, but there are no indications as to when Tesla will be doing that, nor what type of offering it plans to roll out for owners.

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Starlink terminals smuggled into Iran amid protest crackdown: report

Roughly 6,000 units were delivered following January’s unrest.

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Credit: Starlink/X

The United States quietly moved thousands of Starlink terminals into Iran after authorities imposed internet shutdowns as part of its crackdown on protests, as per information shared by U.S. officials to The Wall Street Journal

Roughly 6,000 units were delivered following January’s unrest, marking the first known instance of Washington directly supplying the satellite systems inside the country.

Iran’s government significantly restricted online access as demonstrations spread across the country earlier this year. In response, the U.S. purchased nearly 7,000 Starlink terminals in recent months, with most acquisitions occurring in January. Officials stated that funding was reallocated from other internet access initiatives to support the satellite deployment.

President Donald Trump was aware of the effort, though it remains unclear whether he personally authorized it. The White House has not issued a comment about the matter publicly.

Possession of a Starlink terminal is illegal under Iranian law and can result in significant prison time. Despite this, the WSJ estimated that tens of thousands of residents still rely on the satellite service to bypass state controls. Authorities have reportedly conducted inspections of private homes and rooftops to locate unauthorized equipment.

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Earlier this year, Trump and Elon Musk discussed maintaining Starlink access for Iranians during the unrest. Tehran has repeatedly accused Washington of encouraging dissent, though U.S. officials have mostly denied the allegations.

The decision to prioritize Starlink sparked internal debate within U.S. agencies. Some officials argued that shifting resources away from Virtual Private Networks (VPNs) could weaken broader internet access efforts. VPNs had previously played a major role in keeping Iranians connected during earlier protest waves, though VPNs are not effective when the actual internet gets cut.

According to State Department figures, about 30 million Iranians used U.S.-funded VPN services during demonstrations in 2022. During a near-total blackout in June 2025, roughly one-fifth of users were still able to access limited connectivity through VPN tools.

Critics have argued that satellite access without VPN protection may expose users to geolocation risks. After funds were redirected to acquire Starlink equipment, support reportedly lapsed for two of five VPN providers operating in Iran.

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A State Department official has stated that the U.S. continues to back multiple technologies,  including VPNs alongside Starlink, to sustain people’s internet access amidst the government’s shutdowns.

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