Amazon said on Tuesday it will acquire satellite operator Globalstar in a deal worth about $11.57 billion, as the US technology group accelerates efforts to expand its low Earth orbit network and compete with SpaceX’s Starlink.
The agreement gives Amazon control of Globalstar’s satellite fleet, infrastructure and radio spectrum licences, strengthening its ability to deliver direct-to-device services that connect mobile phones without terrestrial towers. The transaction is expected to close in 2027, subject to regulatory approvals and operational milestones.
According to Reuters, the deal adds roughly two dozen satellites to Amazon’s existing network of more than 200, as the company works towards deploying around 3,200 satellites by 2029. The move is intended to narrow the gap with Starlink, which operates more than 10,000 satellites and serves over nine million users globally.
Panos Panay, Amazon’s senior vice president of devices and services, said the acquisition would expand coverage and improve performance for customers. “By combining Globalstar’s proven expertise and strong foundation with Amazon’s customer-obsession and innovation, customers can expect faster, more reliable service in more places,” he said.
Globalstar shareholders will receive either $90 in cash or 0.3210 shares of Amazon stock per share, with total cash consideration capped at 40 per cent of the deal. Reuters reported that the offer represents a premium of more than 31 per cent to Globalstar’s share price before takeover discussions became public.
Alongside the acquisition, Amazon has agreed a partnership with Apple to provide satellite connectivity for iPhone and Apple Watch features, including emergency messaging and roadside assistance. Globalstar currently supports these services, and the new arrangement will extend support through Amazon’s expanded network.
Greg Joswiak, Apple’s senior vice president of worldwide product marketing, said the partnership would maintain critical safety features for users. “This ensures our users will continue to have access to the vital satellite features they have come to rely on,” he said.
Amazon plans to begin deploying its own next-generation direct-to-device system from 2028, integrating it with its wider satellite network to support consumer, enterprise and government connectivity in remote areas.
