Amazon to Acquire Globalstar: A Game-Changing Satellite Deal

Amazon’s acquisition of Globalstar not only brings a new constellation of operating satellites but also includes a significant slice of mobile spectrum and a valuable partnership with Apple.

This strategic cash-and-stock deal, valued at approximately $10.8 billion, positions Amazon’s satellite broadband business, Amazon Leo, in direct competition with Elon Musk’s Starlink.

Globalstar, with Apple as its largest customer, has a robust network capacity that Apple has heavily invested in to enhance its satellite features, such as Emergency SOS, messaging, Find My location sharing, and more.

Amazon Leo, formerly known as Project Kuiper, will power satellite features on upcoming iPhone and Apple Watch models, solidifying its collaboration with Apple and expanding its satellite capabilities.

Recently, Amazon Leo unveiled a cutting-edge aviation antenna capable of delivering lightning-fast gigabit download speeds to aircraft, further cementing its position in the satellite broadband market.

The acquisition agreement values Globalstar at $90 per share in cash or stock, with the deal expected to close in 2027, pending regulatory approval.

Globalstar, headquartered in Covington, La., operates a growing fleet of satellites in low Earth orbit, supported by licensed mobile-satellite spectrum that is highly sought after in the industry.

While Starlink currently leads the market with over 9 million subscribers and 10,000 satellites, Amazon is rapidly expanding its satellite network and gearing up to launch its consumer service soon.