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AT&T (T) is partnering with Amazon.com (AMZN) to bring satellite internet to business customers, combining Amazon Leo’s low-Earth-orbit satellite services with AT&T’s fiber and 5G networks. The deal expands AT&T Business’ connectivity offering as Amazon works to establish its satellite network and compete in a market dominated by SpaceX’s (SPCX) Starlink.
At the time of writing on Tuesday afternoon, T shares were down 0.68%, while AMZN stock had fallen 0.44%.
AT&T said in a statement the agreement will make it the first major U.S. telecommunications provider to combine Amazon Leo satellite services with its existing fiber and 5G networks. The company described the offering as a “new layer of resilient, fully managed connectivity.”
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The partnership targets enterprise and public sector customers seeking more reliable connectivity across technologies.
Shawn Hakl, head of product for AT&T Business, said customers already have many connectivity choices but need a platform that provides greater reliability.
Amazon Leo is still in the early stages of development, although AT&T said it was confident in the service. Amazon began offering enterprise previews in November 2025 and plans to launch the service commercially this year.
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The company has already secured contracts across several industries, including a partnership with Delta Air Lines (DAL). Amazon also deployed enough satellites to begin “initial service” in July, said Amazon Leo executive Chris Weber in a post on X, following a mission with United Launch Alliance.
Weber said Amazon Leo is designed to provide fast, reliable satellite broadband, strengthen network resilience, and support the connectivity needs of enterprise, public sector, and government customers.
Amazon still has a long way to go to match the scale of SpaceX’s Starlink. Data from astronomer Jonathan McDowell shows Amazon has 392 satellites in space, with 315 in the correct operational orbit, according to MarketWatch. Starlink, meanwhile, has 11,124 working satellites, based on McDowell’s figures.
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On Stocktwits, retail sentiment for T remained ‘bullish,’ unchanged over the past 24 hours, while message volume was ‘low’ at the time of writing. For AMZN, retail sentiment was ‘bearish’, with ‘normal’ message volume.
While T shares have gained around 4% year-to-date, AMZN stock has risen nearly 11% during the same period.
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