Amazon to buy Globalstar
Amazon announced plans to acquire satellite operator Globalstar for $11.5 billion — $90 per share — to launch a low‑Earth‑orbit direct‑to‑device service targeting a mid‑2026 roll‑out, with the deal expected to close in 2027. (x.com)
Amazon is buying Globalstar to add satellite links straight to phones to its Amazon Leo network. (aboutamazon.com) Amazon said April 14 it will pay $90 a share in cash, valuing the deal at about $11.5 billion, and expects it to close in 2027 after shareholder and regulatory approvals. (aboutamazon.com) The company said Globalstar’s satellites, spectrum licenses, and operating team will let Amazon Leo launch direct-to-device service in mid-2026, with mobile carriers using it for voice, text, and data outside the reach of ground cell towers. (aboutamazon.com) Low Earth orbit satellites fly much closer to Earth than traditional communications satellites, which cuts delay and makes it easier to connect ordinary devices in places with no terrestrial coverage. Amazon Leo says its initial network is planned to include more than 3,000 satellites, with deployments starting in April 2025. (aboutamazon.com) Globalstar already runs the satellite network behind Apple’s Emergency SOS feature on the iPhone, after Apple said in 2022 it invested $450 million to build out that service with Globalstar. (apple.com) Amazon said that relationship will continue under a new agreement in which Amazon Leo will power satellite features on supported iPhone and Apple Watch models, including emergency texting, roadside help, and messages to friends and family. (aboutamazon.com) The acquisition also pushes Amazon deeper into a race that SpaceX started earlier. T-Mobile said in December 2024 that it opened beta registration for its Starlink direct-to-cell service after Federal Communications Commission approval. (t-mobile.com) Amazon has been building that business under the name Project Kuiper, which it rebranded as Amazon Leo in November 2025. Amazon said last week that it had completed nine launch missions and had more than 150 satellites in orbit. (aboutamazon.com; aboutamazon.com) Investors treated the announcement as a takeover premium and a satellite bet. CNBC reported Globalstar shares jumped more than 9% in premarket trading, while Amazon shares rose about 1%. (cnbc.com) If the deal closes on Amazon’s timeline, Globalstar stops being a supplier on the edge of the smartphone business and becomes part of Amazon’s push to turn dead zones into another wireless market. (aboutamazon.com; cnbc.com)
