Amazon has announced a major acquisition of satellite communications company Globalstar in a deal valued at approximately $11.6 billion, marking a significant step in its effort to compete with Elon Musk’s Starlink in the growing space-based internet market.
The deal represents one of the most ambitious expansions yet by Amazon into low-Earth orbit (LEO) satellite communications.
What the Deal Includes
Under the agreement, Amazon will gain access to Globalstar’s existing infrastructure, which includes a network of around two dozen low-Earth orbit satellites as well as valuable radio frequency spectrum licenses.
Amazon will also integrate Globalstar’s capabilities into its broader satellite communications strategy, strengthening its position in the global connectivity race.
The transaction, valued at roughly $11.57 billion, offers Globalstar shareholders a choice between $90 per share in cash or Amazon stock of equivalent value.
Impact on Apple’s Satellite Services
Globalstar currently powers emergency satellite features used in Apple devices, including the “Emergency SOS via satellite” service on iPhones and Apple Watches.
Apple relies on Globalstar’s network for critical safety features such as emergency messaging, location sharing, and roadside assistance in areas without cellular coverage.
Despite Amazon’s acquisition, agreements reportedly ensure continuity of these services, while future arrangements may integrate Amazon’s expanding satellite infrastructure.
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Amazon’s Expansion into Space Internet
Amazon’s satellite communications division, known as Amazon Leo, is aggressively expanding its ambitions in low-Earth orbit.
The company already operates over 200 satellites and plans to deploy approximately 3,200 satellites by 2029 as part of its long-term strategy to build a global broadband network.
Starlink, operated by Elon Musk’s SpaceX, currently dominates the satellite internet market, making Amazon’s entry a direct challenge to its leadership.
Timeline and Regulatory Approval
According to reports, the deal has already received approval from 58% of Globalstar voting shareholders. However, it still requires regulatory clearance and confirmation of satellite deployment milestones before completion.
The acquisition is expected to be finalized in 2027, subject to these conditions.
Industry Implications
Experts say the move intensifies competition in the satellite internet sector, where companies are racing to provide global connectivity through low-Earth orbit constellations.
If successful, Amazon’s expansion could reshape how internet access is delivered worldwide, particularly in remote and underserved regions.
