SurgePays Launches Nationwide on AT&T Network with 250,000 SIMs Shipped

Rhea-AI Summary

SurgePays (SURG) has completed its nationwide launch on the AT&T network as a mobile virtual network operator (MVNO), marking a significant expansion of its wireless services capabilities. The company has already shipped over 250,000 SIM cards to customers and retail partners, with an additional 500,000 SIMs on order to meet growing demand.

The integration process, completed on April 1, 2025, took less than six months from contract execution to full network migration. SurgePays now operates through three main revenue channels:

• Direct-to-consumer prepaid services via LinkUp Mobile
• Government-subsidized Lifeline mobile offerings
• MVNE infrastructure for wholesale partners

Following a multi-year MVNO agreement signed with AT&T in November 2024, SurgePays can now provide nationwide 4G LTE and 5G services under its LinkUp Mobile brand while also offering telecom infrastructure to other mobile providers through its MVNE platform.

Positive

• Successfully shipped 250,000 SIM cards with 500,000 more on order, indicating strong market demand
• Completed AT&T network integration in under 6 months, faster than industry standard
• Expanded revenue streams through three distinct channels
• Early market response exceeded internal forecasts
• Secured multi-year MVNO agreement with AT&T, enabling high-margin recurring revenue potential

Negative

• None.

Insights

Telecommunications Industry Expert

SurgePays' evolution to full AT&T MVNO creates three revenue streams while shipping 250,000 SIMs with 500,000 more ordered, signaling strong initial demand.

SurgePays' transformation from a simple reseller to a full MVNO on AT&T's network represents a significant business model evolution. The completed integration enables the company to operate both as a direct service provider through its LinkUp Mobile brand and as infrastructure for other wireless providers via its MVNE platform. The integration timeline of under six months demonstrates exceptional execution capability in an industry where carrier integrations typically require extensive testing and validation periods.

The 250,000 SIM cards already shipped with an additional 500,000 on order indicates substantial initial market traction, though it's important to distinguish between shipped SIMs and active revenue-generating subscribers. The article doesn't specify conversion rates or active subscriber counts.

The three-pronged strategy targeting different market segments creates diversified revenue potential:

• Direct-to-consumer prepaid services through LinkUp Mobile
• Government-subsidized Lifeline mobile offerings targeting qualifying low-income consumers
• MVNE infrastructure enabling other providers without direct carrier agreements

The AT&T partnership provides access to a nationwide network with both 4G LTE and 5G capabilities, which is crucial for competitive positioning. The MVNE capability is particularly notable as it positions SurgePays to create recurring revenue streams by providing critical back-end telecom infrastructure to other mobile providers - potentially creating higher-margin opportunities than direct retail sales.

Financial Analyst

SurgePays' AT&T integration transforms its business model from simple reseller to full MVNO/MVNE, potentially creating higher-margin recurring revenue streams.

SurgePays' strategic pivot from distribution platform to full MVNO/MVNE represents a meaningful business evolution with multiple revenue opportunities. While specific financial projections aren't provided, the completion of the AT&T integration removes a significant execution risk and enables the company to pursue growth across three distinct channels.

The shipment of 250,000 SIM cards with 500,000 more on order provides a preliminary indicator of market demand, though these figures represent potential rather than active subscribers. The article's statement that "Early market response has exceeded internal forecasts" suggests positive initial traction, though without specific metrics to quantify this performance.

From a business model perspective, the MVNE platform opportunity may represent the most significant long-term value driver. By providing infrastructure services to other wireless providers, SurgePays can potentially generate higher-margin recurring revenue without the customer acquisition costs and churn challenges of direct retail operations.

The multi-year nature of the AT&T agreement provides business stability and planning visibility. The development of all three revenue engines simultaneously demonstrates ambition but will require disciplined execution and resource allocation. The strategic allocation of inventory to "long-term channel relationships" suggests management is prioritizing sustainable growth over short-term volume.

While this development appears positive for SurgePays' business capabilities and growth potential, the actual financial impact will depend on successful execution across all three channels and effective monetization of both direct and wholesale opportunities.

BARTLETT, Tenn., April 24, 2025 /PRNewswire/ -- SurgePays, Inc. (Nasdaq: SURG) ("SurgePays" or the "Company"), a wireless and point-of-sale technology company, announced today the completion of its nationwide launch on the AT&T network, following full integration as a mobile virtual network operator (MVNO). The milestone positions SurgePays to aggressively scale both its direct-to-consumer wireless services and its infrastructure platform as a mobile virtual network enabler (MVNE).

SurgePays has already shipped over 250,000 SIM cards to customers and retail partners across the country. With 500,000 additional SIM cards on order, the Company is ramping to meet strong demand across both its LinkUp Mobile brand and wholesale MVNE partner network.

The cutover to the AT&T network, completed April 1, marks the final milestone in the MVNO integration process. This follows months of successful testing and phased migrations of prepaid subscribers, culminating in full validation of provisioning, billing and API systems by AT&T.

"This is a pivotal moment for SurgePays," said Brian Cox, Chairman and CEO of SurgePays. "We're no longer just a reseller or distribution platform — we're now operating directly with the carrier, with the ability to scale on both the retail and wholesale sides of the wireless business."

Speed and Scale: Execution in Under Six Months

The entire integration, from contract execution to full network migration, was completed in under six months, a speedy timeline in the telecom space. SurgePays now provides nationwide 4G LTE and 5G services under the LinkUp Mobile brand while enabling other wireless providers to operate via its MVNE platform.

SurgePays is actively expanding through three primary revenue engines:

• Direct-to-consumer prepaid services via LinkUp Mobile
• Government-subsidized Lifeline mobile offerings
• MVNE infrastructure for wholesale partners without direct carrier agreements

Strong Demand Across Distribution Channels

Early market response has exceeded internal forecasts. With retail partners placing larger recurring orders for SIMs and top-up activations, SurgePays is allocating inventory strategically to long-term channel relationships while onboarding new wholesale clients.

In November 2024, the Company signed a multi-year MVNO agreement with AT&T, unlocking access to one of the nation's most reliable networks. This agreement also empowers SurgePays to offer critical back-end telecom infrastructure to other mobile providers through its MVNE platform, which will pivot the Company towards its goal of creating high-margin recurring revenue.

About SurgePays, Inc.

SurgePays, Inc. is a wireless and fintech company focused on delivering mobile connectivity and financial services to underserved communities. As both a mobile virtual network operator (MVNO) and mobile virtual network enabler (MVNE), SurgePays operates its own wireless brand while also providing back-end infrastructure, including provisioning and billing, to other wireless providers. The Company's proprietary point-of-sale platform is used nationwide in thousands of retail locations, enabling SIM activations, top-ups, and digital financial services. SurgePays is built to scale and uniquely positioned to grow across both retail and wholesale wireless channels. Visit www.SurgePays.com for more information.

Cautionary Note Regarding Forward-Looking Statements

This press release includes express or implied statements that are not historical facts and are considered forward-looking within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act. Forward-looking statements involve substantial risks and uncertainties and generally relate to future events or our future financial or operating performance. These statements may include projections, guidance, or other estimates regarding revenue, cash flow, business growth, market expansion, or customer acquisition. In some cases, you can identify forward-looking statements by the following words: "may," "will," "could," "would," "should," "expect," "intend," "plan," "anticipate," "believe," "estimate," "predict," "project," "potential," "continue," "ongoing," "attempting," or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words.

Although we believe the expectations reflected in these forward-looking statements, such as regarding our revenue, margins, expectations for customer demand, and profitability potential are reasonable, these statements relate to future events or our future operational or financial performance and involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control, including, without limitation, the assumption that the Company will be able to obtain high-margin recurring revenues, statements about our future financial performance, including our revenue, cash flows, costs of revenue and operating expenses; our anticipated growth; and our predictions about our industry and customer demand. These include, but are not limited to, our ability to scale our prepaid wireless business, transition ACP subscribers to Lifeline, maintain our MVNE partnerships, and achieve financial targets. The forward-looking statements contained in this release are also subject to other risks and uncertainties, including those more fully described in our filings with the Securities and Exchange Commission ("SEC"), including in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024. The forward-looking statements in this press release speak only as of the date on which the statements are made. We undertake no obligation to update, and expressly disclaim the obligation to update, any forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect new information or the occurrence of unanticipated events, except as required by law.

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SOURCE SurgePays

FAQ

What is the significance of SurgePays (SURG) launching on AT&T's network in April 2025?

The launch enables SurgePays to operate directly with AT&T as an MVNO, providing nationwide 4G LTE and 5G services while scaling both direct-to-consumer wireless services and MVNE platform operations.

How many SIM cards has SurgePays (SURG) shipped and ordered as of April 2025?

SurgePays has shipped over 250,000 SIM cards and placed orders for an additional 500,000 SIMs to meet current demand.

What are the three main revenue channels for SurgePays (SURG) following the AT&T network launch?

SurgePays operates through LinkUp Mobile direct-to-consumer prepaid services, government-subsidized Lifeline mobile offerings, and MVNE infrastructure for wholesale partners.

When did SurgePays (SURG) sign its MVNO agreement with AT&T and how long did the integration take?

SurgePays signed the agreement in November 2024, and completed the integration in under six months, finalizing on April 1, 2025.