Amazon entered a definitive agreement to acquire satellite services provider Globalstar. The deal values Globalstar at approximately $90 per share in cash or Amazon stock.
The acquisition accelerates the development of Amazon Leo, a low-earth orbit satellite constellation. This network aims to provide global high-speed broadband and direct-to-device connectivity to areas lacking traditional cellular coverage.
Amazon and Apple also revealed an agreement for the Amazon Leo network to power future iPhone and Apple Watch satellite services. This includes the Emergency SOS feature currently supported by Globalstar’s existing infrastructure.
The move positions Amazon as a direct competitor to SpaceX and its Starlink service. Amazon gains crucial radio frequency spectrum and operational expertise through the deal, which is expected to close in 2027.