Amazon Acquires Globalstar in Massive $11.5B Satellite Deal

Amazon is making a massive leap into the final frontier. In a move that reshapes the satellite communications landscape, the retail and cloud giant has officially announced a deal to acquire Globalstar’s low-Earth orbit (LEO) satellite network for a staggering $11.57 billion. This isn’t just about buying a few satellites; Amazon is snapping up spectrum licenses, operations, and all existing assets to integrate them into its upcoming "Leo" internet constellation.

For those of you following the space race, this deal is particularly interesting because of Globalstar's existing relationship with Apple. Currently, Apple uses Globalstar’s network to power the Emergency SOS features on iPhones and Apple Watches. Interestingly, Apple even owned a 20 percent stake in Globalstar. Under the new agreement, Amazon isn't cutting Apple off. Instead, they have committed to continuing support for these critical safety services while developing future technologies that will connect Apple devices to Amazon’s own Leo network.

It seems like Amazon is positioning itself as a backbone for mobile connectivity. By controlling the infrastructure that rivals like Apple rely on, Amazon gains significant leverage in the "direct-to-device" market. This acquisition effectively accelerates Amazon's Project Kuiper ambitions, giving them the regulatory and physical assets needed to compete with SpaceX's Starlink. It shows that Amazon is willing to spend big to ensure they aren't left behind in the race for global satellite coverage.

The deal is expected to close in 2027, provided it clears the usual regulatory hurdles. While three years feels like a long time in tech, the integration of these two massive networks will likely take every bit of that window. Mobikolik readers, we might soon see a world where your iPhone stays connected not just through cell towers, but through a seamless mesh of Amazon-owned satellites orbiting high above. It will be fascinating to see how the relationship between these two tech giants evolves once Amazon becomes Apple's primary satellite provider.