Mobile communications provider TerreStar Networks Inc. (TerreStar), a majority-owned subsidiary of TerreStar Corporation (NASDAQ: TSTR), have an agreement between with AT&T to bring to market the first fully integrated satellite cellular smartphone.

The TerreStar solution will combine AT&T's wireless connectivity with the ability to use an all-IP satellite network as back up throughout the United States. Using one phone number and one device, users will be able to access voice and data services in the United States, Puerto Rico, the U.S. Virgin Islands and offshore coastal waters over either the AT&T cellular network or the TerreStar satellite network. The TerreStar GENUS Smartphone is a revolutionary device, combining 3G terrestrial wireless capability with satellite voice and data in a standard smartphone size and form factor. The device uses the Windows Mobile operating system to provide smartphone functionality and includes premium features such as a touchscreen, WiFi, Bluetooth®, GPS and a QWERTY keyboard. The solution is intended to work as a user's everyday cellular smartphone device, with satellite access capability as a secondary option when needed. TerreStar and AT&T will demonstrate the TerreStar GENUS Smartphone at a special event on October 5th at the IACP (International Association of Chiefs of Police) annual conference in Denver, Colorado.