Amazon has agreed to acquire satellite operator Globalstar for $11.57 billion in cash, paying $90 per share to gain its low-Earth orbit satellites, infrastructure, and globally harmonized Band 53/n53 spectrum licenses. The deal bolsters Amazon’s nascent Amazon Leo satellite network with direct-to-device capabilities, positioning it to challenge SpaceX’s dominant Starlink in orbital mobile connectivity.
Announced Tuesday, the acquisition includes Globalstar’s 24 operational satellites and proven direct-to-device services, such as those powering Apple’s Emergency SOS on iPhone 14 and later models. Amazon simultaneously secured a deal with Apple to transition and continue these satellite connectivity services for iPhones and Apple Watches.
This move accelerates Amazon Leo’s rollout, with direct-to-device services launching in 2028 alongside thousands of new low-Earth orbit satellites to support hundreds of millions of endpoints worldwide. Globalstar’s spectrum, licensed across key markets, provides an irreplaceable asset that shaves years off network buildout.
The transaction offers Globalstar shareholders cash or Amazon stock capped at $90 per share, at a 117% premium to recent levels, with closure expected in 2027. Amazon’s $200 billion capex commitment, fueled by AWS growth, absorbs the deal easily, igniting competition in the $15 billion direct-to-device market.
By integrating Globalstar’s assets, Amazon gains immediate voice, text, and data coverage in remote areas, enhancing Project Kuiper’s broadband ambitions and operational edge over rivals.