Blue Origin successfully launched its third New Glenn rocket and recovered its reusable first stage in a milestone for the company’s reusability program.

However, the rocket’s second stage placed a communications satellite from AST SpaceMobile into a lower-than-intended orbit, making it unusable for its planned service.

The satellite, which was meant to provide direct-to-cellphone 4G and 5G coverage, could not maintain operations and will eventually deorbit despite being powered on.

Blue Origin said payload separation was successful but acknowledged the “off-nominal” orbit and is investigating the cause, CBS News has reported.

The mission highlights both progress in rocket recovery technology and ongoing challenges in precision satellite deployment.