Amazon has taken one of the most ambitious steps in its satellite connectivity history by announcing the purchase of Globalstar for $11.57 billion and simultaneously sealing a deal with Apple to support future satellite functions on their Amazon Leo network for iPhone and Apple Watch features. This move dramatically strengthens Jeff Bezos’s company’s position in a market where SpaceX and its Starlink network have had a significant lead for years, opening a new chapter in the race for direct-to-device connectivity from space.
The strategic logic behind this move is quite clear. Amazon isn’t just acquiring a company with operational experience in low Earth orbit satellites; it’s also gaining a highly valuable asset portfolio: satellites already in service, spectrum licenses with international authorizations, and extensive expertise in satellite mobile services and direct-to-device technology. All of this accelerates its ability to add direct mobile connectivity to future versions of Amazon Leo, the satellite network formerly known as Project Kuiper.
This announcement is significant because it changes Amazon’s role in the industry. Up to now, the company was building a large low Earth orbit satellite network primarily focused on broadband, with an initial constellation expected to include over 3,000 satellites. With the acquisition of Globalstar, this project gains an additional dimension: the ability to offer D2D voice, data, and messaging services on conventional mobile devices beyond terrestrial coverage. Amazon has set 2028 as the target to deploy its own next-generation system for this type of connectivity.
Apple Ensures Continuity of Its Satellite Services
The second major development from this deal concerns Apple. Globalstar was already Apple’s satellite partner for functions like Emergency SOS via satellite, messaging, and roadside assistance in certain iPhone and Apple Watch models. Through this acquisition, Amazon guarantees the continuity of those services and also establishes a direct relationship with Apple to promote future satellite capabilities on the Amazon Leo infrastructure. According to the announcement, compatible devices will continue to include emergency contact, messaging with friends or family, roadside assistance, and other off-network functions.
This point is quite relevant for Apple because it alleviates, at least for now, any uncertainty about the future of its satellite services following a change in Globalstar’s control. It also places Amazon within a very sensitive service layer for the Apple ecosystem: emergency and safety connectivity when the user is outside traditional cellular coverage. Greg Joswiak, Apple’s global product marketing chief, highlighted this focus on continuity and future reinforcement.
A Direct Blow in the Race Against Starlink
The deal should also be viewed as a clear competitive move against Starlink, SpaceX’s network, which remains the sector’s benchmark in scale, deployment, and number of active satellites. Reuters reports that Starlink surpasses 10,000 satellites and is now working on direct-to-cell services with mobile operators. In contrast, Amazon was still in a much earlier phase, with just over 200 satellites deployed, facing the challenge of accelerating its timeline to meet regulatory and commercial milestones. The acquisition of Globalstar allows Amazon to close the gap much faster than it could through organic development alone.
Moreover, the value of this deal isn’t solely in infrastructure but also in spectrum. In satellite business, having bands and licenses harmonized across multiple countries is one of the scarcest and most difficult assets to replicate. Globalstar provides exactly that layer, along with experience in satellite mobile services and non-geostationary architectures. Essentially, Amazon isn’t just buying a network; it’s acquiring years of regulatory and operational positioning in a market where timing is critical.
A Long-Term Bet with Industrial Implications
Amazon presents this acquisition as part of a long-term vision to deliver reliable connectivity to underserved areas, benefiting consumers, businesses, governments, and mobile operators. The company emphasizes working with MNOs and other partners to extend voice, text, and data services into regions where terrestrial infrastructure is costly, vulnerable, or simply absent. This message resonates with the classic narrative of bridging the digital divide but also highlights more profitable use cases: business continuity, fleet management, IoT, logistics, remote industrial operations, and disaster resilience.
There is also an underlying economic consideration. Amazon Leo has already been a multimillion-dollar investment with industrial impact across the United States, Europe, and other markets, and this move further expands that roadmap. The agreement with Globalstar is subject to regulatory approval and the fulfillment of certain satellite milestones by the acquired company, with an expected closing date in 2027. Globalstar shareholders will have the option of receiving $90 in cash per share or 0.3210 Amazon shares, with a 40% cap on cash elections and possible adjustments if certain operational milestones aren’t met.
In short, Amazon isn’t just strengthening its satellite network. It’s securing a fast track into space-based mobile connectivity and establishing a strategic relationship with Apple—areas where reliability and coverage could be game changers in the coming years. The fight for global connectivity will no longer be solely about fiber, 5G, or data centers; low Earth orbit will also play a crucial role.
Frequently Asked Questions
How much will Amazon pay for Globalstar?
Amazon has agreed to buy Globalstar for $11.57 billion, offering shareholders $90 in cash per share or an exchange for Amazon shares subject to certain limits and adjustments.
What does Amazon gain with the Globalstar acquisition?
It gains active satellites, international spectrum licenses, expertise in satellite mobile services, and a technical foundation to add direct-to-device connectivity to Amazon Leo.
What changes for iPhone and Apple Watch users?
Apple will maintain and expand its satellite functions supported by Amazon Leo, including Emergency SOS via satellite, off-network messaging, location sharing, and roadside assistance on compatible devices.
When will Amazon Leo’s direct-to-mobile service be available?
Amazon aims to deploy its D2D system by 2028, while continuing to develop the overall Amazon Leo network and its constellation of thousands of low Earth orbit satellites.
via: Amazon