AST SpaceMobile Lands $30M Pentagon Contract, Boosting Stock

The satellite communications company's defense arm secures a prime contract with the U.S. Space Development Agency.

Published on Feb. 26, 2026

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AST SpaceMobile Inc. (NASDAQ:ASTS) shares are trading higher on Thursday after the company's defense division, AST SpaceMobile USA, landed a roughly $30 million prime contract with the U.S. Space Development Agency. The deal positions AST SpaceMobile as a direct supplier to U.S. defense customers and advances the company's plan to build a space-based cellular broadband network.

Why it matters

The contract win highlights growing government demand for commercial space-based connectivity and resilient, low-latency communications. It also expands AST SpaceMobile's opportunities in the defense sector, which could lead to larger awards in the future.

The details

Under the contract, AST SpaceMobile will use its dual-use BlueBird satellite constellation to demonstrate secure links connecting government end-user devices directly to satellites. The company's software-defined "bent-pipe" architecture is designed to move high-bandwidth data from orbit and interface with existing tactical radios in the field.

  • On February 23, 2026, AST SpaceMobile USA was awarded the roughly $30 million prime contract with the U.S. Space Development Agency.
  • AST SpaceMobile is set to report earnings on March 2, 2026.

The players

AST SpaceMobile Inc.

A satellite-communications company that is developing the first space-based cellular broadband network designed to work with standard mobile phones.

AST SpaceMobile USA

The wholly owned defense arm of AST SpaceMobile that secured the $30 million prime contract with the U.S. Space Development Agency.

U.S. Space Development Agency

A U.S. Department of Defense agency responsible for developing and fielding the Proliferated Warfighter Space Architecture, which prioritizes resilient, low-latency communications.

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What’s next

A successful demonstration of the secure satellite links under the SDA contract could pave the way for larger defense and commercial awards for AST SpaceMobile.

The takeaway

This contract win highlights AST SpaceMobile's growing role in the government and defense sectors, as the company advances its plan to build a space-based cellular network that can connect standard mobile devices. The deal positions the company as a trusted partner for U.S. defense agencies seeking resilient, low-latency communications.