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VEON in talks with Amazon ( AMZN ), AST SpaceMobile ( ASTS ), OneWeb

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To launch satellite services with Starlink this year

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Eyes deals with multiple operators in other countries

(Recasts with CEO comments from interview throughout)

By Gianluca Lo Nostro and Leo Marchandon

Aug 7 (Reuters) - VEON is in discussions with

Amazon ( AMZN ) 's Project Kuiper, AST SpaceMobile ( ASTS ) ,

and Eutelsat OneWeb to expand its satellite services

for mobile devices beyond Ukraine, its CEO said on Thursday.

Telecom operators globally are increasingly adopting

satellite technology to clear coverage gaps, particularly in

remote areas where terrestrial networks are costly or face

geographical challenges.

"We're going to be selective. We will look into every

country and we will look into our alternatives. And depending on

commercial availability, capacity issues, and prioritization of

the orbits, we may make different choices," VEON CEO Kaan

Terzioglu said in an interview.

Direct-to-cell technology works by positioning

satellites equipped with advanced cellular modems in low Earth

orbit. The satellites function as cell towers in space, beaming

signals to smartphones on the ground.

VEON, the telecoms group behind Ukraine's largest mobile

operator, will roll out direct-to-cell in Ukraine this year

using Elon Musk Starlink's dedicated network, the first provider

in Europe

to introduce

satellite services on mobile.

Terzioglu highlighted challenges in regions such as

Kazakhstan, citing its vast territory and sparse population,

which make full terrestrial network coverage impossible.

In Ukraine, war conditions, frontlines, and landmines

hinder normal network maintenance.

He also pointed to climate-related disruptions in

countries like Bangladesh and Pakistan, where cyclones and

floods can compromise terrestrial networks for extended periods.

Giving a timeline for these investments would be hard as

they depend on governments' decisions on direct-to-cell

licenses, Terzioglu said.

Earlier on Thursday, the company raised its annual outlook

for revenue and core profit as it posted strong second-quarter

earnings.

It now expects total revenue to grow between 13% and 15% and

earnings before interest, taxes, depreciation and amortization

(EBITDA) to rise in a range of 14% to 16% this year.

Total revenue for the quarter to end June reached $1.09

billion ($1.09 billion) while EBITDA rose to $520 million.

VEON said it expects to take a non-cash charge of up to $200

million in the third quarter as a result of its planned Kyivstar

U.S. listing and the sale of its business in Kyrgyzstan.

($1 = $1.0000)