Amazon in talks for Globalstar

Amazon is in advanced talks to buy Globalstar, a satellite operator whose network already supports Apple’s emergency iPhone features. (usnews.com) Bloomberg reported on April 14 that the talks were advanced but not finished, and Reuters said a deal could be announced as soon as Tuesday, April 14. Amazon declined to comment on the report. (bloomberg.com) (usnews.com) Globalstar is not just a satellite company. It also controls Band n53, an 11.5 megahertz slice of 2.4 gigahertz spectrum that the Federal Communications Commission cleared for terrestrial broadband use in the United States. (globalstar.com) That matters because Amazon is still building its own low Earth orbit internet network, now branded Amazon Leo. Amazon said on April 4 that it had deployed 241 satellites so far, out of an initial constellation of more than 3,000 spacecraft. (aboutamazon.com) Amazon’s first production launch did not happen until April 28, 2025, when United Launch Alliance sent 27 Kuiper satellites into orbit from Cape Canaveral. Amazon had previously expected to begin full deployment earlier, and its Federal Communications Commission license requires it to place half its authorized constellation in orbit by July 2026. (aboutamazon.com) (satellitetoday.com) Globalstar brings assets Amazon does not have today: an existing mobile satellite business, licensed spectrum on the ground, and a direct link to Apple. In October 2024, Globalstar disclosed updated service agreements with Apple for a new mobile satellite services network, expanded ground infrastructure, and increased satellite capacity. (sec.gov) Apple also agreed to put about $1.5 billion into Globalstar in that 2024 deal, including $1.1 billion in cash and a 20% equity stake worth $400 million. CNBC reported that Apple’s position is one reason any sale process is more complicated. (cnbc.com 1) (cnbc.com 2) If Amazon closes the deal, it would gain a faster route into direct-to-device service, the kind of satellite connection that reaches a phone without a dish. That is the same part of the market where Apple, SpaceX, T-Mobile, AST SpaceMobile and others have been pushing to extend coverage beyond cell towers. (aboutamazon.com) (sec.gov) The immediate question is whether the companies move from talks to a signed agreement. The larger one is whether Amazon wants Globalstar mainly for satellites in orbit, spectrum on the ground, or the Apple relationship that already comes with it. (bloomberg.com) (globalstar.com)