Property and Equipment

6 Months Ended

Jun. 30, 2022

Property, Plant and Equipment [Abstract]

Property and equipment, net consisted of the following at June 30, 2022 and December 31, 2021 (in thousands):



	June 30, 2022			December 31, 2021
Land	$	1,350		$	1,350
Computers, software, and equipment		3,827			2,810
Leasehold improvements		7,131			6,416
Satellite antennas		4,913			2,996
Lab, assembly, and integration equipment		11,490			10,301
Others (1)		1,558			1,345
Property and equipment		30,269			25,218
Accumulated depreciation		(5,713	)		(3,592	)
Other construction in progress		13,169			6,701
Property and equipment, net		37,725			28,327

BlueWalker 3 satellite - construction in progress		86,584			67,615
Total property and equipment, net	$	124,309		$	95,942

(1) Includes vehicles, furniture and fixtures, and a phased array test facility.

Depreciation expense for the six months ended June 30, 2022 and 2021 was approximately $2.2 million and $1.1 million, respectively. Depreciation expense for the three months ended June 30, 2022 and 2021 was approximately $1.2 million and $0.5 million, respectively.

SpaceX Multi-Launch Agreement

On March 3, 2022, AST LLC entered into an agreement (the “Multi-Launch Agreement”) with Space Exploration Technologies Corp. (“SpaceX”). The Multi-Launch Agreement provides a framework for future launches of the Company’s satellites through December 31, 2024, including the launches of the BW3 test satellite and the first BB satellite. As part of the Multi-Launch Agreement, the Company and SpaceX agreed on a framework for additional launch service agreements relating to the launch of future BB satellites. In connection with entry into the Multi-Launch Agreement, the Company paid an aggregate amount of $22.8 million, of which $8.0 million related to adjustments of certain technical launch parameters for the BW3 test satellite was capitalized to BlueWalker 3 satellite - construction in progress in the unaudited condensed consolidated balance sheet, and $14.8 million of deposits related to the first BB initial payment and launch reservation fee for a future BB launch was recorded to Other non-current assets in the unaudited condensed consolidated balance sheet. The exact timing of the satellite launches is contingent on a number of factors, including satisfactory and timely completion of assembly and testing. The Multi-Launch Agreement permits the Company to delay launches of its satellites upon payment of certain rebooking fees.