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AST SpaceMobile Shares Drop After Blue Origin's TeraWave Announcement Halts Rally

Investors reacted to a rival network announcement following a steep run-up.

Overview

  • AST SpaceMobile fell about 11% to $99.76 on Wednesday, giving back part of a multi‑month surge that had carried the stock to record highs.
  • Blue Origin introduced TeraWave, a proposed 5,408‑satellite, multi‑orbit network touting up to 6 Tbps capacity, raising competitive concerns for satellite‑to‑phone services.
  • Recent gains were fueled by the December deployment of the BlueBird 6 satellite and heavy ETF exposure, dynamics that can magnify both rallies and sell‑offs.
  • AST SpaceMobile continues to target 45 to 60 satellites for continuous service by late 2026 and reports partnerships with 50‑plus mobile operators covering roughly 3 billion subscribers, alongside more than $1 billion in contracted commitments and prepayments.
  • The company was named an eligible prime contractor for the Missile Defense Agency’s SHIELD program, signaling potential dual‑use opportunities even as it remains early stage with substantial cash burn.