AST SpaceMobile stock falls after Blue Origin rocket explosion

Investing.com -- AST SpaceMobile (NASDAQ:ASTS) shares fell 13% Thursday following an explosion of Blue Origin’s New Glenn rocket during testing on a Florida launchpad.

The rocket, which was undergoing tests ahead of its fourth planned launch, exploded in a fireball Thursday evening. The vehicle was being prepared to deploy satellites for Amazon.com Inc.’s (NASDAQ:AMZN) Leo network, a competitor to SpaceX’s Starlink. No satellites were aboard the rocket at the time of the explosion, according to an Amazon spokesperson.

The incident is expected to delay AST SpaceMobile’s commercial constellation launch, which was previously scheduled for the fourth quarter of 2026. Analysts indicated the launch could slip into the first quarter of 2027, though exact timelines remain to be determined.

The setback also affects Amazon’s Leo constellation deployment, potentially delaying competition in the direct-to-device market. AST SpaceMobile’s satellite deployment plans rely on launch vehicle providers, making the company vulnerable to such disruptions.

Blue Origin, backed by Jeff Bezos, has been working to establish itself as a competitor to SpaceX in the commercial launch market. The New Glenn rocket is central to those efforts and serves as a key vehicle for deploying satellite constellations.

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