Amazon Leo has struck a deal with AT&T to serve business customers, which could help promote satellite internet service in the US.
AT&T already supplies fiber-based gigabit internet to enterprises. But it looks like AT&T wants to tap Amazon Leo satellites to help it beam high-speed broadband to businesses in rural and remote areas, which often lack access to ground-based fiber.
“Amazon Leo will provide internet connectivity services to AT&T, enabling AT&T to broaden its connectivity capabilities and deliver fixed broadband services to business customers in areas where such services are needed,” the companies said.
The news comes as SpaceX has been aggressively expanding Starlink, targeting both consumers and businesses. Amazon is currently beta-testing Leo with select enterprise customers and promises speeds of 1 gigabit. In contrast, Starlink’s top speeds usually come in around 400Mbps, although SpaceX is working to offer gigabit speeds later this year.
The main challenge facing Amazon Leo is its need for more satellites. The system currently has only 180 satellites in orbit, which isn’t enough to provide robust coverage. Last week, the company also told the Federal Communications Commission that it won’t hit a July 30 deadline to launch half of the 3,200 satellites for the constellation.
Instead, Amazon projects it’ll only have about 700 satellites in orbit by then. It also “expects to have its customer terminals in the hands of more enterprise and government customers, and to be poised to roll out service more broadly in the US and across the globe.”
Recommended by Our Editors
Amazon Leo hasn’t clearly indicated when it might offer services to consumers or how much it’ll cost. But the satellite internet service is on track to receive $302 million through a federal broadband program to deliver high-speed internet to over 400,000 US locations.
As for AT&T, the carrier has partnered with a separate company, AST SpaceMobile, to supply satellite-based cellular connectivity to consumer phones. AT&T is aiming to offer AST’s service to select customers in a beta in the first half of 2026, with a commercial launch to follow. But like Leo, AST needs to launch more satellites to offer robust, continuous coverage.
Get Our Best Stories!
Your Daily Dose of Our Top Tech News
By clicking Sign Me Up, you confirm you are 16+ and agree to our Terms of Use and Privacy
Policy.
Thanks for signing up!
Your subscription has been confirmed. Keep an eye on your inbox!
About Our Expert
Michael Kan
Senior Reporter
Experience
I’ve been a journalist for over 15 years. I got my start as a schools and cities reporter in Kansas City and joined PCMag in 2017, where I cover satellite internet services, cybersecurity, PC hardware, and more. I’m currently based in San Francisco, but previously spent over five years in China, covering the country’s technology sector.
Since 2020, I’ve covered the launch and explosive growth of SpaceX’s Starlink satellite internet service, writing 600+ stories on availability and feature launches, but also the regulatory battles over the expansion of satellite constellations, fights with rival providers like AST SpaceMobile and Amazon, and the effort to expand into satellite-based mobile service. I’ve combed through FCC filings for the latest news and driven to remote corners of California to test Starlink’s cellular service.
I also cover cyber threats, from ransomware gangs to the emergence of AI-based malware. Earlier this year, the FTC forced Avast to pay consumers $16.5 million for secretly harvesting and selling their personal information to third-party clients, as revealed in my joint investigation with Motherboard.
I also cover the PC graphics card market. Pandemic-era shortages led me to camp out in front of a Best Buy to get an RTX 3000. I’m now following how President Trump’s tariffs will affect the industry. I’m always eager to learn more, so please jump in the comments with feedback and send me tips.
Read Full Bio
