Saudi Arabian telco stc Group announced on Wednesday it has signed a strategic agreement with LEO satellite operator AST SpaceMobile to develop direct-to-device (D2D) satellite connectivity services across Saudi Arabia and select markets in the Middle East and Africa.

Under the agreement, stc will serve as the main operator in Saudi Arabia, providing services directly to stc subscribers. It will also offer wholesale services to mobile network operators (MNOs) and mobile virtual network operators (MVNOs).

The service is expected to be launched in the fourth quarter of 2026 after completing all regulatory and technical procedures.

Abel Avellan, founder, chairman and CEO of AST SpaceMobile, said that stc is the first regional operator to collaborate with it on D2D service development (although Zain KSA has expressed interest, having signed a non-binding MoU with AST SpaceMobile in 2023 to collaborate on D2D services).

“This partnership is another major leap forward to deliver on the promise of truly universal mobile broadband coverage, bridging the digital divide and empowering millions with reliable and easy-to-use connectivity,” Avellan said in a statement.

“By expanding coverage by using the latest innovations in telecommunications technology, stc and AST SpaceMobile are bridging connectivity gaps and ensuring no one is left out of the digital future,” added stc Group CEO Olayan Alwetaid.

There is plenty of interest in D2D satellite services across the Middle East. Earlier this month, UAE-based satellite firm Space42 signed an MoU with e& UAE to collaborate on D2D satellite connectivity via Equatys, the joint venture formed by Space42 and Viasat last month to offer D2D satellite services. Prior to establishing Equatys, Viasat staged demos of its D2D technology in Saudi Arabia and the UAE last year..

Also earlier this month, Bahrain’s Telecommunications Regulatory Authority launched a public consultation on a proposal to authorise D2D services in the country.