Communication

Amazon Acquires Globalstar in $11.57B Satellite Deal

Is Amazon's Globalstar deal a bold challenge to Starlink or a long-term AI infrastructure power grab?

Published APR 14

Amazon Acquires Globalstar in $11.57B Satellite Deal

Story

Above: Amazon Leo Satellite Connectivity signage displayed at the Consumer Electronics Show in Las Vegas, on Jan. 6, 2026. Image credit: Patrick T. Fallon/AFP/Getty Images

The Facts

Amazon announced a definitive merger agreement on Tuesday to acquire satellite operator Globalstar in an $11.57 billion deal, adding roughly two dozen low-Earth orbit satellites and spectrum licenses to its Amazon Leo network.
Amazon Leo on X
Amazon News
Reuters
Under the deal terms, Globalstar shareholders can elect to receive either $90 in cash or 0.3210 shares of Amazon common stock per share, representing a premium of more than 31% to Globalstar's April 1 closing price. The transaction is expected to close in 2027, pending regulatory approvals.
Investors
The Express Tribune
Amazon and Apple separately signed an agreement for Amazon Leo to power satellite features — including Emergency SOS, Messages, Find My and Roadside Assistance — on supported iPhone and Apple Watch models. Apple holds a 20% stake in Globalstar following a $1.5 billion investment in 2024.
Verge
24/7 Wall Street
Amazon plans to deploy its own next-generation direct-to-device satellite system beginning in 2028, enabling voice, text and data services to mobile devices without relying on ground-based cellular towers. Amazon Leo currently operates more than 200 satellites and is targeting a constellation of over 3,200.
Drive Tesla Canada
PYMNTS
SpaceX's Starlink, which holds roughly 50% to 80% of SpaceX's revenue, operates more than 10,000 satellites and serves over 9 million users globally, giving it a lead over Amazon Leo in the current satellite connectivity market.
Guardian
Investors
FCC Chairman Brendan Carr said the agency is "very open-minded" to the Amazon-Globalstar deal and that it's consistent with the U.S. goal of leading in direct-to-cell technologies, though formal regulatory review is still required before the transaction can close.
CNBC
The Express Tribune

Sources Split

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RIGHT

ESTAB
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PRO
ESTAB

The Spin

Narrative A

Amazon's $11.57B Globalstar acquisition is a direct shot at Starlink's dominance, and it's exactly the competition the satellite market needs. By adding Globalstar's spectrum licenses and direct-to-device capability, Amazon Leo can now reach billions of people in remote areas, disaster zones and beyond traditional cell coverage. This deal doesn't just close the gap with Starlink; it reshapes the entire satellite connectivity landscape.

The Wall Street Journal

The Economic Times

Narrative B

Framing this purely as a Starlink rivalry misses the real story — Amazon just secured the connectivity backbone for a future run by AI robots, autonomous vehicles and billions of smart devices. Owning Globalstar's spectrum and Apple's Emergency SOS infrastructure means Amazon controls the physical layer linking every device on earth to the network. This is a long-term AI infrastructure play, not just a satellite internet race.

Richard Jarc on X

Milk Road AI on X