Amazon has acquired satellite operator Globalstar for $11.5 billion, securing direct-to-device connectivity technology for smartphones without mobile towers. This bolsters Project Leo’s goal of deploying over 3,000 low-Earth orbit satellites, positioning Amazon to compete head-on with SpaceX’s dominant Starlink in the emerging satellite-to-phone market.
The acquisition provides Amazon with proven spectrum, infrastructure, and capabilities already enabling features like Apple’s Emergency SOS and Find My device tracking. It accelerates Amazon’s entry into direct-to-phone services, targeting remote regions, aircraft, disaster zones, and conflict areas where terrestrial networks fail.
SpaceX’s Starlink maintains market leadership with over 10,000 satellites and 9 million users, having launched more than 650 LEO satellites in 18 months as of 2025. Amazon’s move closes a critical capability gap, shifting competition from satellite launches to advanced connectivity functions like higher bandwidth and efficient frequency reuse.
The US satellite communication market, valued at $7.19 billion in 2025, is projected to reach $17.98 billion by 2035 at a 9% CAGR, fueled by LEO constellations, 5G integration, and IoT expansion. This rivalry intensifies focus on global coverage and operational resilience in aviation and defense sectors.