Amazon Acquires Globalstar in $11.6 Billion Deal to Enhance LEO Network and Support Apple Satellite Services

In a landmark development for the global telecommunications and aerospace industries, Amazon.com, Inc. has reached a definitive agreement to acquire Globalstar, Inc. in a deal valued at approximately $11.6 billion. This strategic acquisition is designed to provide a comprehensive boost to the Amazon Leo low Earth orbit (LEO) satellite network, which represents Amazon's most ambitious play in space-based infrastructure to date. By absorbing Globalstar’s diverse portfolio of orbital assets and terrestrial ground stations, Amazon is positioning itself at the absolute forefront of the next generation of global internet connectivity and cloud-integrated satellite services.

Formally unveiled on April 14, 2026, the transaction details provide Globalstar’s shareholders with a sophisticated set of options. Investors can choose between receiving a direct cash payment of $90.00 per share or opting for 0.3210 shares of Amazon stock, with the total equity value capped at the $90.00 threshold. While the deal is not expected to close until the middle of 2027, it has already secured an essential internal victory through the written consent of shareholders representing roughly 58% of the company's total voting power. The finalization of the merger remains subject to necessary regulatory approvals and the successful fulfillment of specific operational milestones, including key progress on the HIBLEO-4 satellite replacement program which is critical for future capacity.

This acquisition grants Amazon immediate and unfettered access to Globalstar’s existing constellation and its vital, licensed spectrum in the L and S bands. Access to these specific frequencies is considered a major strategic advantage, as they are essential for the integration of direct-to-device (D2D) capabilities into the Amazon Leo network. This technology allows standard consumer devices like smartphones to communicate directly with orbital satellites without requiring cumbersome ground terminals. Such a capability is a critical component in the ongoing competition for the satellite internet market, and the move is expected to significantly accelerate the deployment of Amazon’s network as it strives to compete with more established providers.

A central pillar of this acquisition is the formalized partnership between Amazon and Apple regarding long-term satellite services. In a synchronized announcement, the companies confirmed that the Amazon Leo network will now power satellite-based features for supported iPhone and Apple Watch models, including the life-saving Emergency SOS functionality. This ensures service continuity for Apple’s massive global user base who rely on the infrastructure previously managed by Globalstar. This agreement follows a major move in 2024 when Apple invested nearly $1.5 billion in Globalstar to secure a 20% stake, a capital infusion that funded the expansion of the satellite fleet to support Apple's specialized SOS features.

Financial markets responded with immediate optimism to the acquisition news across the board. Globalstar’s stock price jumped by more than 9% during pre-market trading, reflecting investor confidence in the immense value of the company’s rare spectral licenses and ground infrastructure. Amazon’s shares also saw a steady rise of about 1% on the New York pre-market as analysts recognized the deal's long-term potential. These gains follow a banner year for Globalstar; CEO Dr. Paul E. Jacobs previously noted that the 2025 fiscal year was transformative, with the company recording record revenues of $273 million, a 9% increase over its 2024 performance.

The acquisition of Globalstar places Amazon in a much stronger position to challenge the market dominance of SpaceX’s Starlink service. At the start of 2026, Starlink maintained a massive lead in the sector with over 9,900 satellites in orbit and a global subscriber base of more than 10 million active users. Amazon’s Project Kuiper/Leo aims to launch around 3,200 satellites by 2029 to provide global coverage. However, the company is facing a strict regulatory clock that requires it to have at least half of that constellation—approximately 1,600 satellites—operational in orbit by July 2026. This merger is viewed as a vital catalyst for Amazon to meet these aggressive deployment targets and secure its place in the orbital economy.