Amazon–Globalstar acquisition report
A report suggested Amazon is acquiring satellite operator Globalstar to expand its low‑Earth-orbit connectivity ambitions and challenge incumbents in satellite internet. The piece cautions the source is less authoritative, so the claim remains directional rather than confirmed. (techresearchonline.com)
Amazon has moved from reported talks to a signed deal: the company said on April 14 it agreed to buy Globalstar for about $11.57 billion. (aboutamazon.com) Globalstar shareholders can elect $90 a share in cash or 0.3210 shares of Amazon stock, with cash capped at 40% of the total and the stock value capped at $90 a share. The companies said the transaction is expected to close in 2027, subject to regulatory approvals. (globalstar.com) Amazon said the purchase gives its Amazon Leo network Globalstar’s satellite operations, ground infrastructure, and mobile-satellite spectrum licenses with global authorizations. Amazon said those assets will be used to add direct-to-device service, which connects phones and other gadgets to satellites when cellular towers are out of range. (aboutamazon.com) The deal also rewires Globalstar’s biggest consumer relationship. Amazon and Apple said Amazon Leo will power satellite features on supported iPhone and Apple Watch models, including Emergency SOS via satellite. (aboutamazon.com) That matters because Amazon’s satellite business is still early. Amazon says its initial Amazon Leo constellation will include more than 3,000 spacecraft, and it began deploying the network in April 2025 with its first 27 satellites. (aboutamazon.com) Globalstar brings assets Amazon did not have at the same scale: licensed L-band and S-band spectrum, Band 53 and n53 holdings, and an existing mobile-satellite service business. Globalstar said those licenses and capabilities can speed direct-to-device rollout across consumer, enterprise, Internet of Things, government, and emergency uses. (globalstar.com) Amazon said its new direct-to-device system is expected to start deploying in 2028. CNBC reported the acquisition is meant to strengthen Amazon Leo as Amazon tries to compete more directly with SpaceX’s Starlink network. (cnbc.com) Globalstar is not a blank check on future capacity. In its 2025 annual report, the company said one customer generated about 63% of revenue, and earlier filings tied that concentration to Apple’s satellite-services arrangement and network expansion funding. (stocktitan.net, cnbc.com) The first wave of this story was a rumor. Reuters reported on April 13, citing Bloomberg, that Amazon was in advanced talks and could announce a transaction as soon as the next day; on April 14, Amazon and Globalstar published the merger agreement. (usnews.com, aboutamazon.com) The question now is not whether Amazon wants Globalstar. It is whether regulators sign off in 2027 on a deal that would give Amazon a satellite operator, scarce spectrum, and Apple’s satellite phone business in one move. (globalstar.com, aboutamazon.com)
