Amazon is making a much bigger move in satellite connectivity, agreeing to acquire Globalstar in a deal valued at $11.57 billion, as it looks to strengthen its Amazon Leo network and build out direct-to-device services that can compete more aggressively with SpaceX’s Starlink.
The transaction gives Amazon control of Globalstar’s satellite operations, spectrum assets, and infrastructure, while also keeping Globalstar’s existing Apple-linked satellite services in place. The agreement signals that Amazon wants to move faster in a market where Starlink already has a large lead in users, satellites, and launch cadence.
TL;DR
- Amazon will acquire Globalstar in a deal valued at $11.57 billion.
- Globalstar shareholders can elect $90 in cash or 0.3210 Amazon shares per Globalstar share.
- Amazon Leo will use Globalstar’s assets to add direct-to-device services from 2028.
- Amazon and Apple also signed an agreement to continue satellite features on supported iPhone and Apple Watch models.
- The deal is expected to close in 2027, subject to regulatory approvals and milestone conditions.
Amazon Gets Spectrum, Satellites, And A Faster Direct-To-Device Path
The acquisition adds Globalstar’s roughly two dozen satellites to Amazon’s existing network of more than 200 satellites, while also giving Amazon a stronger spectrum position in direct-to-device, or D2D, communications. Amazon aims to deploy about 3,200 low Earth orbit satellites by 2029, with around half needing to be in place by a July regulatory deadline.
Amazon and Globalstar said the acquisition will allow Amazon Leo to add D2D services to future generations of its low Earth orbit network. The companies said Amazon plans to begin deploying its own next-generation D2D system in 2028, extending voice, text, and data services to mobile users beyond the reach of terrestrial cellular networks.
“There are billions of customers out there living, traveling, and operating in places beyond the reach of existing networks, and we started Amazon Leo to help bridge that divide,” said Panos Panay, Senior Vice President of Devices & Services, Amazon.
Globalstar CEO Paul Jacobs said, “We have long believed low Earth orbit satellite constellations offer the most effective path to truly connect users and devices anywhere and anytime.” He added that the combination with Amazon Leo will advance digital connectivity and help build a more continuously connected world.
Apple Partnership Stays Intact
One of the biggest questions around the transaction was Globalstar’s role in Apple’s satellite features. Amazon and Globalstar said that relationship will continue. The companies announced that Amazon and Apple have entered into an agreement for Amazon Leo to power satellite services for supported iPhone and Apple Watch models, including Emergency SOS via satellite.
Apple’s Greg Joswiak, Senior Vice President of Worldwide Product Marketing, said the agreement ensures users will continue to have access to satellite features such as Emergency SOS, Messages, Find My, and Roadside Assistance via satellite.
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Why This Matters?
Starlink still remains the company to beat. Reports state that Starlink already serves more than 9 million users globally and operates a network of more than 10,000 satellites. That means Amazon is still playing catch-up in broadband scale, even as this deal strengthens its D2D ambitions.
Still, the acquisition gives Amazon more than just extra satellites. It delivers licensed spectrum, existing mobile satellite expertise, and a clearer route into emergency communications, consumer device connectivity, enterprise services, and government use cases. For Amazon, this is not just a satellite acquisition, it is a strategic shortcut in one of tech’s most expensive and competitive infrastructure races.
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