Space42 and Viasat (NASDAQ: VSAT) have signed a binding agreement to co-found Equatys, a shared space and ground infrastructure platform intended to provide direct-to-device and mobile satellite services connectivity, the companies announced at World Space Business Week in Paris.

Upon formation of Equatys, each company will commit an initial equity contribution of $400 million. Space42 is expected to contribute an additional $200 million in connection with a future equity funding round open to third-party investors, bringing the two parties' combined total to up to $1 billion. The companies also simultaneously signed an agreement to step up joint funding to accelerate development of an initial satellite constellation.

Viasat is expected to be appointed as Equatys's prime technology contractor upon the venture's formation. The initial constellation represents the first phase of an architecture designed to scale to 2,800 satellites across 60 orbital planes and three altitude layers.

Equatys is structured around a Tower Company model, in which satellite and ground infrastructure is shared among participating operators rather than duplicated. The platform is intended to support connections from smartphones, IoT devices, and other terminals directly to satellites, allowing mobile operators to offer voice, text, and data services where terrestrial networks are unavailable.

Together, Space42 and Viasat hold commercial agreements with more than 400 mobile operators worldwide and access to over 100 MHz of globally coordinated Mobile Satellite Services spectrum. Space42 holds coordinated L-band spectrum rights across more than 160 markets, while Viasat holds coordinated MSS spectrum rights in the L-band globally and in the S-band in Europe.

The global direct-to-device satellite connectivity market is projected to reach between $30 billion and $70 billion by 2040, according to the press release.

Formation of the venture, constellation procurement, and corresponding definitive agreements remain subject to customary closing conditions, including regulatory approvals and the formal appointment of Viasat as prime technology contractor. The partnership between the two companies was first announced in March 2025, when they began funded technical and commercial studies of shared non-terrestrial network infrastructure.