Firefly Aerospace has signed an agreement valued at more than $1.3 billion with AST SpaceMobile to supply rocket engines, license engine intellectual property, and provide engineering support for AST SpaceMobile’s new heavy-lift launch vehicle.
The three-year agreement includes the delivery of 36 rocket engines and provides AST SpaceMobile with rights to manufacture engines using Firefly’s technology.
The transaction represents a substantial commercial agreement for Firefly and supports AST SpaceMobile’s strategy of developing its own launch infrastructure for satellite deployments.
Under the agreement, Firefly will provide 27 Miranda engines and nine Vira vacuum engines for AST SpaceMobile’s first three rockets.
The engines will support development of a new heavy-lift launch vehicle intended to deploy AST SpaceMobile’s BlueBird satellites into low Earth orbit.
AST SpaceMobile is developing a space-based cellular broadband network designed to provide connectivity directly to standard mobile devices.
The company requires substantial launch capacity to deploy its satellite constellation and expand network coverage.
Developing its own launch vehicle could provide greater control over launch schedules and reduce dependence on third-party rocket availability.
Firefly will supply the propulsion technology while maintaining ownership of its underlying intellectual property.
AST SpaceMobile will receive a license allowing it to manufacture the engines for its launch program.
The arrangement is designed to complement Firefly’s existing launch business rather than create a competing engine technology platform.
Firefly will continue developing and supplying launch vehicles for commercial and government customers.
The company’s Miranda engine has completed more than 175 hot-fire tests, accumulating over 4,200 seconds of testing.
These tests included a flight-like demonstration at 110% performance of the engine’s rated 230,000 pounds-force thrust.
During that test, the engine successfully operated for 20 seconds beyond its nominal flight duration of 206 seconds.
Miranda and Vira are based on technologies developed for Firefly’s Reaver and Lightning engines.
The propulsion systems use Firefly’s patented tap-off cycle technology, which the company developed through its vertically integrated engineering and manufacturing operations.
The agreement provides Firefly with additional financial resources to expand its production capacity and accelerate development of its broader launch vehicle portfolio.
AST SpaceMobile will pay Firefly more than $1.3 billion through a combination of cash and shares of AST SpaceMobile Class A common stock.
The equity consideration will be subject to applicable lock-up periods.
Firefly intends to use the proceeds to accelerate hiring, acquire long-lead manufacturing materials, expand engineering capabilities, and strengthen its production infrastructure.
The company also plans to construct additional engine testing facilities at its Rocket Ranch in Briggs, Texas.
These investments are intended to increase the rate at which Firefly can manufacture and test launch vehicle components.
The added infrastructure will also support development milestones across Firefly’s existing launch programs and future technologies.
Both Firefly and AST SpaceMobile are headquartered in Texas, providing geographic proximity between their engineering and operational teams.
Firefly’s broader business includes launch vehicles, lunar landing systems, orbital transportation technologies, and space-related software and data processing capabilities.
The company has previously demonstrated rapid-response orbital launch capabilities and completed a successful commercial Moon landing.
Its rocket engine agreement with AST SpaceMobile expands its role as a propulsion technology provider while supporting a new commercial heavy-lift launch program.
The arrangement also highlights the increasing importance of propulsion manufacturing capacity as satellite companies seek more direct control over their launch schedules and infrastructure.
Firefly expects the transaction to accelerate production expansion while preserving its ability to serve existing government and commercial launch customers.
The company plans to discuss the agreement during its third-quarter 2026 earnings conference call scheduled for November 10.
KEY QUOTES:
“This is a bold transformational deal for Firefly, for AST SpaceMobile, and for the space industry. When a company sets out to build its own rocket, the engine is the hardest, highest-stakes decision they make, and AST SpaceMobile chose to partner with Firefly for its most powerful rocket engines. It’s a true win-win for both companies: AST SpaceMobile gets control of its own launch schedule, and Firefly gets added funds to rapidly expand our rocket production and reinforce the supply of launch vehicles to address record demand from the industry. The agreement supercharges Firefly’s production system — more test bays at our Rocket Ranch, long-lead materials bought ahead, and a bigger team of engineers and technicians. This allows us to build and test faster across our launch portfolio, with safety, quality, and reliability built in.”
Jason Kim, CEO Of Firefly Aerospace
“Firefly is one of a few companies in the United States with a proven liquid engine of this scale, making it a scarcity in the industry. We’re proud to partner with Firefly as a company that has demonstrated repeated launch success to orbit and completed the first and only successful commercial Moon landing.”
Abel Avellan, Founder, Chairman And CEO Of AST SpaceMobile
