Amazon is in discussions to acquire Globalstar for $9 billion.
A potential agreement would enable Amazon’s Leo satellite initiative to utilize Globalstar’s L-band spectrum and operational facilities, offering a quicker path in its competition with SpaceX’s Starlink. Apple's investment, which supports the Emergency SOS feature on iPhones, has complicated negotiations significantly.
According to a report by the Financial Times on Wednesday, Amazon is in advanced discussions to purchase satellite telecommunications company Globalstar, with a deal valuing the firm at around $9 billion, as confirmed by Reuters.
Both Amazon and Globalstar have refrained from commenting, and the parties are still working through the complexities of a possible agreement after what the FT describes as prolonged negotiations. No agreement has yet been finalized.
The strategic reasoning is clear. Amazon is developing Amazon Leo, previously known as Project Kuiper, which aims to establish a fleet of over 3,200 low-earth-orbit satellites to compete with SpaceX’s Starlink, the current leader in satellite internet.
At the time of the report, Amazon had launched over 180 Leo satellites. Acquiring Globalstar would significantly enhance this goal, as it would provide valuable L-band and S-band spectrum licenses, which are limited and cannot simply be duplicated by launching more satellites, in addition to decades of operational know-how and existing ground infrastructure that serves enterprise, government, and consumer markets worldwide.
Globalstar became profitable in 2025 and posted $273 million in revenue.
The complicating factor is Apple. In 2024, Apple invested $1.5 billion in Globalstar, obtaining a 20% stake in the company, which allowed Globalstar to order additional satellites and supports Apple’s Emergency SOS via Satellite feature on iPhone 14 and newer models and Apple Watch Ultra.
This investment has made negotiations for Amazon considerably more intricate, necessitating that Amazon engage directly with Apple regarding the terms of any acquisition. Apple’s dependence on Globalstar’s network for a key iPhone safety feature creates a genuine operational reliance that any buyer would need to address.
Following the FT's report, Globalstar’s shares jumped, reaching an 18-year peak in after-hours trading, largely due to investors recognizing the worth of its spectrum assets.
For Amazon, successfully acquiring Globalstar would condense years of infrastructure development into one transaction, providing a more immediate opportunity to compete with Starlink across individual consumers, businesses, and government clients, including U.S. national security agencies through its Starshield variant.
The pivotal issue remains whether a deal can be structured that meets Apple’s operational needs while also supporting Amazon’s competitive goals.
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Amazon is in discussions to acquire Globalstar for $9 billion.
Amazon is negotiating to acquire Globalstar for approximately $9 billion as part of its strategy to compete with Starlink. However, Apple's 20% ownership in Globalstar is creating challenges for the transaction.