Frequently find yourself mired in remote areas with no cell phone coverage? The answer to your woes might come soon enough, when TerreStar Networks launches their satellite-capable smartphone shortly after their first satellite flies into orbit on July 1st. Running Windows Mobile and touting a full set of QWERTY keys, it just might turn out to be your new favorite handset - if you're lucky enough to get it on retail, that is.

AT&T Mobility will be reselling both the phone and the satellite service in the US, most likely to local and federal government officials who will require "true" nationwide coverage as only a phone that sends voice calls to space can manage. According to AT&T, the phone will switch automatically between satellite and 3G coverage as users roam between areas.

The yet-unnamed handset (I think the working name was Elektrobit) will use two separate communication chips, one for cellular and the other for satellite connectivity. Price is being pegged at around $700, which should more than pay for itself when you find yourself lost in some empty town in the middle of nowhere. It should also go down to around $400 or $500 gradually as sales volume increases.

Satellite calls currently cost around $1 per minute but will probably be lower, according to TerreStar.   A Canadian reseller for both the phone and the service is presently under negotiation.

Via IntoMobile