August 2026 · Observation (I)
Izhar Ahmad
INITIAL TAKE
Advances in computing, artificial intelligence, satellite manufacturing, launch capability, investment, mobile networks, devices, cloud systems, and terrestrial infrastructure are increasing capability both in orbit and on Earth.
Space systems are improving through more cost-effective satellite manufacturing, stronger computing, wider financing, rideshare missions, smaller launchers, and growing strategic, enthusiast, and commercial interests. Terrestrial systems are advancing through more capable fixed and mobile networks, submarine connectivity, device innovations, data platforms, sensors, integrated infrastructure, and, last but not least, artificial intelligence. Both sectors are becoming more prolific and useful in their own right. Their progress is also creating more opportunities for them to work together in the shape of hybrid connectivity: Mobile Satellite Services (MSS), Direct-to-Device (D2D) connectivity, Air-to-Ground (A2G) platforms, and other combinations of satellite and terrestrial infrastructure.
To the user, these arrangements appear as one connectivity service. Behind hybrid connectivity, however, service delivery is divided across different networks, companies, licenses, regulators, technical standards, and operating responsibilities. Hybrid connectivity, given its integration of two different domains, is prompting a review of how connectivity services are structured and governed: who controls the service, which regulator will regulate which component, who remains responsible to end-users, and where operational and regulatory responsibility sits when satellite and terrestrial systems form part of the same service chain.
Terrestrial and satellite integration is a commercial and regulatory reality, but now what?
Yours in alignment,
Izhar Ahmad
WHERE INTELLIGENCE & ALIGNMENT EMERGES
Hybrid connectivity is beginning to alter the structure of the connectivity sector itself. Satellite service providers are moving closer to end-users, devices, and national communications markets. Terrestrial communications service providers are extending services beyond the physical limits of their own fixed and mobile infrastructure. Device companies, platform providers, and network technology providers are gaining greater say over how connectivity is selected, combined, and delivered.
As these roles overlap, the established distinctions between satellite provider, telecom operator, infrastructure provider, technology platform, wholesale partner, and customer-facing service provider become less clear. This is particularly worth noting since many existing commercial arrangements, licenses, regulatory categories, and service obligations were developed when satellite and terrestrial connectivity existed in sector silos. Hybrid connectivity now, however, is introducing offerings that cross traditional boundaries while continuing to depend on them.
The resulting sector-level issue is quite large. Regional markets need to reconsider who is actually providing connectivity, who owns the customer relationship, where value is created and retained, which obligations follow the service, and which regulatory authorities should govern an offering assembled across previously separate domains. This also brings the sovereign factor into the equation, including national control, lawful access, critical-service obligations, and the extent to which foreign or cross-border infrastructure becomes part of national connectivity. This is where new implications emerge for Sovereign AI as well.
Terrestrial communications increasingly depend on cloud platforms, virtualized networks, devices, software, data systems, cybersecurity arrangements, and infrastructure controlled by several players. Space systems are expanding through larger LEO constellations and continued deployment, though not at the same levels, across LEO, MEO, and GEO orbits, placing greater importance on operating sustainably and keeping orbital environments usable over time. We can say that the same seriousness identified for sustainability on Earth will be required for Space as well.
Hybrid connectivity therefore combines more than technical strengths. It brings together two different business models that converge to create a hybrid one, different regulatory legacies and systems, new inter-dependencies, and two operating environments that must deliver outcomes on Earth and remain usable over time, while preserving natural resources for the future. This gives wider practical meaning to both integration and sustainability.
The intelligence need then is to identify which existing sector labeling no longer describes the hybrid service accurately: who is becoming the actual connectivity provider, where customer ownership and value are moving, which new dependencies are being introduced, and where sovereignty and sustainability obligations come into play. Similarly, the alignment need is to define, across one combined service, who controls access, who carries responsibility to users, which authorities govern which components, how value and liability are divided, and what milestones should be set for terrestrial and orbital systems’ long-term use and sustainability of natural resources, including Space-based resources.
FINAL TAKE
Hybrid connectivity should not be understood only as a technical extension of existing networks. It is beginning to alter established connectivity boundaries by bringing satellite providers, terrestrial operators, technology companies, regulators, and institutions into increasingly interdependent, and perhaps somewhat conflicting, roles.
The intelligence lies in recognizing that the structure of the sector is changing before old market and regulatory approaches are adopted. As LEO satellite systems enter regional markets, workable commercial roles, service obligations, regulatory responsibilities, and operating arrangements will be required across the combined communications and data landscape in a very complex environment where AI is thriving. At the same time, greater dependence on terrestrial and orbital infrastructure will require sustained attention to interoperability, security, reliability, and the long-term usability of both environments.
At the sector level, regional markets will need to understand and shape the hybrid arrangement deliberately, aligning on and addressing interoperability, security, sustainability, reliability, and, most importantly, responsibility.
Intelligence accumulates as perspectives diverge.
Alignment emerges as conditions converge.
References
Izhar Ahmad (Editor). 2026. Mobile Satellite Services in the GCC: Strategic Pathways for Spectrum Harmonization and Regional Leadership in Hybrid Connectivity. Whitepaper.
