Ofcom has signed off the Wireless Telegraphy (Direct to Device Satellite Communications) (Exemption) Regulations 2026. Made on 16 February and due to start on 25 February 2026, the move removes the need for individual licences when standard smartphones connect to authorised satellites-within strict technical limits. Ofcom confirmed the regulations have been made and will come into force on 25 February 2026. (ofcom.org.uk)

The regulator also approved the first licence variation for Telefónica UK (VMO2), allowing Direct to Device (D2D) use in its mobile spectrum. Ofcom says the authorised frequencies have been inserted into the final instrument, with the text to be published on legislation.gov.uk-meaning customers can lawfully use the service once their network switches it on. (ofcom.org.uk)

Inside the instrument, operation is confined to 1710.1–1715.9 MHz and 1805.1–1810.9 MHz. Mean total radiated power is capped at 30 dBm when using GSM and 25 dBm when using UMTS, LTE or 5G NR. Equipment must not be used while airborne and must not cause undue interference to other wireless services. (ofcom.org.uk)

Compliance is pegged to specific ETSI standards familiar to handset makers: GSM EN 301 511 V12.5.1; UMTS EN 301 908‑1 V15.2.1 and ‑2 V13.1.1; LTE EN 301 908‑1 V15.2.1 and ‑13 V13.2.1; and 5G NR EN 301 908‑1 V15.2.1 and ‑25 V15.1.1. The rules do not extend to the Channel Islands or the Isle of Man. (ofcom.org.uk)

Ofcom frames D2D as a coverage and resilience tool-extending outdoor reach in remote areas and providing a basic backup path during terrestrial outages, including support for 999 in time. Investors should read that as a reliability feature at launch rather than a capacity upgrade. (ofcom.org.uk)

Commercially, progress runs through MNO‑satellite tie‑ups and licence variations. On 4 February, Ofcom noted that Telefónica UK had sought to vary its 1800 MHz licence alongside Starlink; approval of Telefónica UK’s variation was confirmed on 17 February. Rivals now face a strategic choice: secure capacity with a satellite partner or risk being last to market on rural coverage and resilience claims. (ofcom.org.uk)

For OEMs, this reads as incremental engineering. The listed ETSI profiles align with standard 2G/3G/4G/5G modem stacks, and the power ceilings are close to typical handset behaviour. Expect the heavier lift in firmware, network scheduling and antenna optimisation to meet coexistence rules and keep battery impact manageable. (ofcom.org.uk)

For MNOs, the near‑term business case looks modest but strategic. Expect D2D to land in premium bundles, enterprise continuity add‑ons and emergency packs, with wholesale fees shared between the mobile operator and its satellite partner. The bigger upside is reputational: stronger coverage claims and a resilience story that resonates with regulators and corporates.

For consumers, roll‑outs will be gradual and network‑by‑network through 2026. Think opt‑in SOS messaging and basic texts first, potentially followed by narrowband data in clear‑sky conditions. This is about being reachable off‑grid, not streaming video on a mountainside.

The policy clean‑up around satellite also continues. Government is revoking the legacy EU regime for 2 GHz mobile‑satellite services ahead of licence expiry in May 2027, clearing space for a domestic approach. That process is separate from today’s 1800 MHz decision but points to a broader reset. (gov.uk)

What changes next is scope. Ofcom plans to add further mobile bands to the exemption as other operators secure licence variations, so expect additional frequencies to appear in updated instruments during 2026. (ofcom.org.uk)

Bottom line for SMEs and retail investors: from 25 February 2026, UK smartphones can legally connect to satellites on defined 1800 MHz channels under tight standards and power limits. It is a pragmatic coverage boost with a clear route to market via the MNO you already use.