The Federal Aviation Administration (FAA) has ordered an investigation into Blue Origin’s New Glenn rocket after it failed to deploy a satellite into the correct orbit during a launch on Sunday. The rocket, owned by Jeff Bezos’ space company, placed the AST SpaceMobile BlueBird 7 satellite into a lower-than-planned orbit, rendering it unusable. The FAA is requiring Blue Origin to conduct a mishap investigation and approve any corrective actions before flights can resume.
Blue Origin attributed the failure to insufficient thrust in an engine, as stated by CEO Dave Limp. AST SpaceMobile confirmed the satellite’s orbit was too low for operations but noted the loss would be covered by insurance. The company still plans to launch additional satellites this year, aiming for about 45 in orbit by year-end.
The incident marks the third flight of the New Glenn rocket, which was expected to support a dozen launches in 2026. AST SpaceMobile’s stock fell by as much as 12% in premarket trading on Monday, reflecting investor concerns over the failed deployment. The company remains optimistic about its launch schedule, with satellites 8, 9, and 10 ready for shipment within 30 days.