SEATTLE, April 14, 2026, 07:56 PDT
Amazon.com moved to acquire Globalstar on Tuesday, striking an agreement valued at around $11.6 billion. The move aims to boost Amazon’s Leo satellite network, accelerating its entry into phone-to-satellite connectivity and ratcheting up the competition with SpaceX’s Starlink. Globalstar’s stock jumped close to 9% during the morning session in the U.S., while Amazon shares picked up about 2.7%.
Timing is key here. Starlink’s got over 10,000 satellites in orbit already. Amazon? Just above 200 for now, but the company is pushing to assemble a 3,200-satellite network by 2029—about half of those must be up by a July regulatory cutoff.
Amazon’s purchase of Globalstar hands it radio spectrum rights, satellite infrastructure, and access to direct-to-device tech—phones tapping satellites when cell towers fall short. The company said the deal positions Leo to start rolling out its own D2D platform in 2028.
Apple is now more involved with Amazon’s satellite ambitions. Both companies confirmed Leo will keep supporting satellite functions on select iPhone and Apple Watch devices—Emergency SOS via satellite among them—as they develop additional services.
Globalstar shareholders have the option to take either $90 in cash or 0.3210 Amazon shares per Globalstar share under the merger agreement, but there’s a 40% cap on the total cash payout. According to SEC filings and Amazon’s release, the deal’s overall payout could shrink by up to $110 million if Globalstar fails to hit certain operational targets. Backers holding roughly 58% of voting rights have already signed off on the deal via written consent. Financing isn’t a condition for closing this agreement.
Panos Panay, who heads devices at Amazon, said the company aims to serve customers “beyond the reach of existing networks.” Apple’s marketing boss Greg Joswiak added that the partnership will keep the “vital satellite features” users depend on. Amazon News
Analysts pointed to speed as the key factor here. Armand Musey, who heads Summit Ridge Group, called the deal a move that lets Amazon “catch-up on their D2D spectrum position.” Austin Moeller at Canaccord Genuity said he expects further consolidation, with satellite operators under pressure to keep up with SpaceX’s launch muscle and scale. Reuters
The gap hasn’t closed. According to Reuters, Starlink is rolling out its own D2D offering with partners like T-Mobile. Amazon, for its part, intends to collaborate with mobile carriers as Leo grows.
Still, the deal hasn’t crossed the finish line yet. It’s waiting on green lights from the Federal Communications Commission and other authorities, not to mention Globalstar hitting certain satellite targets. The merger agreement spells out steep break fees if approvals don’t come through, or if another suitor wins. FCC Chair Brendan Carr, who last month called out Amazon’s sluggish launch schedule, said Tuesday the agency was “very open-minded” about the proposed deal. Reuters
The companies see the deal closing in 2027. That gives Amazon a tougher challenge ahead: ramping up launch timelines, integrating Globalstar’s assets with Leo, and attempting to build a satellite network that can take on Starlink with what’s still a relatively small fleet.
