Amazon has entered a definitive agreement to acquire satellite operator Globalstar, aiming to integrate direct-to-device connectivity into its low Earth orbit Amazon Leo network by 2028.

Key Points

• Amazon will acquire Globalstar’s satellite infrastructure, operations, and mobile satellite services spectrum licenses.
• The merger agreement allows Globalstar stockholders to receive $90.00 per share in cash or Amazon common stock.
• Amazon and Apple signed a separate agreement to provide satellite-based emergency and messaging services for iPhone and Apple Watch models.
• Amazon plans to deploy a next-generation direct-to-device satellite system starting in 2028 to provide global voice, data, and messaging coverage.
• The transaction is expected to close in 2027, pending regulatory approvals and the completion of specific satellite operational milestones.

Why it Matters

This acquisition significantly accelerates Amazon's ability to compete in the growing satellite-to-cellular market by securing established spectrum and operational expertise. By integrating these capabilities into the Amazon Leo network, the company aims to bridge global connectivity gaps and provide reliable emergency services to millions of mobile users.