Space42 and Viasat commit $1 billion to Equatys satellite platform

The formation of Equatys signals a shift toward interoperable, standards-based infrastructure in the satellite sector, mirroring the shared-asset model of terrestrial mobile towers. By utilizing 3GPP standards, the venture removes the hardware barrier for satellite-to-smartphone services, potentially expanding the addressable market to billions of existing devices. This move positions Viasat and Space42 to capture a significant share of a direct-to-device market estimated to reach $70 billion by 2040. For the streaming and data ecosystem, this infrastructure could eventually provide a fallback for high-bandwidth services in unserved regions. Watch for the first phase of satellite deployments and regulatory approvals to gauge the speed of global rollout.

The direct-to-device satellite market is rapidly attracting capital and partnerships beyond the Equatys joint venture. In mid-2026, SpaceX's Starlink Direct-to-Cell service reached commercial availability across multiple carriers including T-Mobile US and KDDI, establishing the first large-scale consumer offering in the category. Meanwhile, AST SpaceMobile has continued deploying its BlueBird constellation, which targets broadband-speed connectivity to unmodified smartphones, and Lynk Global has pursued a similar shared-infrastructure model that mirrors Equatys's neutral-host approach. The competitive density underscores why Space42 and Viasat are betting on 3GPP non-terrestrial network standards as a differentiator: interoperability with existing handset ecosystems could reduce customer acquisition costs relative to proprietary solutions. On the business and regulatory front, the satellite-to-smartphone sector faces satellite D2D connectivity challenges that will shape Equatys's rollout timeline. The ITU's World Radiocommunication Conference 2023 established new framework provisions for non-terrestrial network spectrum sharing, but individual national regulators still control licensing for supplementary terrestrial coverage bands. Viasat itself has navigated complex regulatory environments through its Inmarsat acquisition, which closed in 2023 and brought L-band and S-band spectrum assets into the combined entity. The Equatys venture's neutral-host positioning is designed to sidestep the carrier-exclusivity model that has characterized early direct-to-device deals, where operators like T-Mobile US locked in exclusive arrangements with specific satellite providers. This open-access approach could accelerate adoption among smaller operators and IoT verticals that lack the negotiating leverage of tier-one carriers. From a technical standpoint, 3GPP Release 17 and Release 18 specifications for non-terrestrial networks have matured significantly, enabling the standards-based approach Equatys is pursuing. Nokia has been actively developing AI-native core network features that support non-terrestrial network integration, including edge inferencing for autonomous decisions without human intervention, which suggests the terrestrial network side is preparing for satellite-terrestrial convergence. The 3GPP NTN standards define waveforms, timing advance mechanisms, and mobility procedures that allow standard 5G modems to communicate with satellites in low-Earth and geostationary orbits. For streaming and data delivery specifically, the bandwidth constraints of current direct-to-device services (typically measured in kilobits per second for text and voice) mean that Equatys's initial value proposition targets coverage rather than throughput. However, as constellation density increases and inter-satellite links mature, the platform could eventually serve as a supplementary layer for video delivery in regions where terrestrial infrastructure remains uneconomical to deploy.