The UAE’s Space42 and Viasat have agreed to establish Equatys with up to USD 1 billion in equity commitments. The deal signed Monday targets satellite connectivity for smartphones and IoT devices beyond reliable terrestrial coverage. 

Space42 and Viasat will each provide USD 400 million after Equatys formally launches. Space42 could add another USD 200 million through a future funding round involving outside investors. Viasat will serve as the expected prime technology contractor for the first satellite constellation. 

Equatys will combine satellite and terrestrial networks through a 3GPP-compliant non-terrestrial network platform. The system aims to provide voice, text and data services across remote areas and urban coverage gaps. Its shared infrastructure model could also reduce deployment costs for participating telecom and satellite operators. 

Equatys plans to follow a Tower Company model used to expand terrestrial mobile infrastructure. Multiple operators could share satellite and ground systems while keeping their spectrum rights and customer relationships. The first constellation forms part of a larger architecture planned to reach 2,800 satellites.

The network could use 60 orbital planes and three altitude layers as capacity requirements increase. Space42 contributes coordinated L-band spectrum rights across more than 160 markets worldwide. Viasat adds global L-band rights and S-band spectrum rights across Europe. 

Together, both companies have relationships with more than 400 mobile operators globally. They also hold access to more than 100MHz of coordinated Mobile Satellite Services spectrum. Karim Michel Sabbagh, Managing Director of Space42, called the model “shared, interoperable and standards-based.” 

He said the approach targets billions of devices rather than millions of satellite subscribers. The partnership builds on technical and commercial studies that began between both companies in March 2025. The companies announced plans to form Equatys later in September 2025. 

The venture still needs regulatory approvals and other customary closing conditions before formal establishment. The latest agreement moves Equatys from planning toward funded infrastructure for the expanding direct-to-device market. 

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