Japan’s regulatory approval of a 700 MHz satellite communications framework has given AST SpaceMobile a significant boost heading into the final stretch of 2026.
Shares of AST SpaceMobile (ASTS) rose 2% on Monday, ending August marginally in positive territory after falling 22% in June and 34% in July.
Japan’s Ministry of Internal Affairs and Communications confirmed that the Radio Regulatory Council endorsed a proposed framework for introducing a 700 MHz-band non-geostationary satellite communications system for mobile phones.
Following a month-long public consultation period, the ministry plans to finalize relevant regulations shortly, clearing a key pathway for Rakuten and AST SpaceMobile to launch direct-to-smartphone service across Japan.
The filing directly named AST SpaceMobile’s BlueBird satellite system, and one respondent asked the ministry to replace that specific language with broader terms covering other satellite providers.
The ministry declined that request, explaining that the standards were developed from spectrum-sharing studies based on BlueBird’s radio-station specifications, keeping BlueBird-specific provisions intact as originally proposed.
Rakuten Mobile supported the framework and called for its swift implementation, saying direct satellite connectivity could extend service to remote islands, maritime areas and mountainous regions while supplementing terrestrial networks during emergencies.
Rakuten Group CEO Hiroshi Mikitani said the company plans to form a satellite-business joint venture with AST SpaceMobile in 2026, with both partners holding equal stakes while Rakuten leads management.
The venture puts Rakuten in direct competition with Japan’s larger wireless rivals, including KDDI, SoftBank and NTT Docomo, which already offer direct-to-cell connectivity through SpaceX’s Starlink network.
Japan is expected to provide 150 billion yen, roughly $926 million, in subsidies over three years to support the Rakuten-led network, covering equipment, ground facilities and constellation operations.
Japan views the project as an economic-security priority, particularly after Starlink’s prominent role in restoring communications following the 2024 Noto Peninsula earthquake highlighted the risks of relying on foreign-controlled satellite infrastructure.
Since Rakuten lacks access to the 2 GHz spectrum used by Starlink, AST SpaceMobile’s compatibility with Rakuten’s existing 700 MHz holdings is central to the entire strategy.
Rakuten expects to begin rolling out its satellite-to-smartphone service in phases at the end of 2026 and is targeting nationwide coverage in fiscal 2027.
On the constellation side, AST SpaceMobile fully deployed BlueBird satellites 12 and 13, which launched alongside BlueBird 11 aboard a SpaceX Falcon 9 earlier in August.
Each next-generation satellite carries a 2,400-square-foot array designed to deliver voice, broadband and text directly to standard smartphones, with peak speeds approaching 200 Mbps.
BlueBird 14 is complete, while BlueBirds 15 and 16 are nearing completion, with production advancing through BlueBird 48 and the company targeting six fully assembled satellites per month.
AST SpaceMobile is targeting 45 satellites in orbit by early 2027, with its eventual global constellation expected to exceed 100 satellites in total.
On Stocktwits, retail sentiment for ASTS was “bearish” amid an 819% surge in 24-hour message volume, even as some traders expressed optimism about the months ahead.
One user said, “$ASTS heading back to $100 end of Sept,” while another noted, “$ASTS up or down trends have started/ended exactly the first or last day of month. Looks like September may be good month for us.”
ASTS stock has risen 21% over the past year, and the latest regulatory milestone in Japan could provide a meaningful catalyst as the company works to scale its commercial operations globally.
