Amazon to Acquire Globalstar in $11.6 Billion Deal

Beyond terrestrial limits, Amazon’s $11.6 billion Globalstar deal promises direct-to-device satellite services, expanded Apple connectivity, and a step toward universal digital coverage.

Amazon has agreed to acquire satellite operator Globalstar Inc. in a transaction valued at approximately $11.6 billion, a move that will expand the services of its low Earth orbit (LEO) satellite network, Amazon Leo.

The deal, announced on Tuesday, April 14, 2026, will integrate Globalstar’s satellite fleet, spectrum licences and operational expertise into Amazon’s system, enabling direct-to-device (D2D) connectivity and extending mobile coverage beyond terrestrial networks.

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Under the terms, Globalstar shareholders will receive either $90 in cash per share or 0.32 shares of Amazon stock, capped at $90 per share. According to a Bloomberg report, the offer represents a premium of nearly 117% over Globalstar’s late October share price, before reports of a potential sale emerged.

The transaction is expected to close in 2027, subject to regulatory approvals and operational milestones.

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Amazon also confirmed an agreement with Apple to provide satellite services for iPhone and Apple Watch models. These features, currently supported by Globalstar, include Emergency SOS, messaging, roadside assistance and location sharing.

Amazon Leo’s expanded network will continue to support existing Apple devices while collaborating on future satellite-enabled services.

Meanwhile, Globalstar will combine its infrastructure with Amazon Leo’s broadband system. Amazon plans to launch its next-generation D2D system in 2028, offering faster speeds and greater efficiency than legacy direct-to-cell technologies.

The unified network will include thousands of satellites, supporting hundreds of millions of endpoints worldwide.

Executives from both companies emphasised the potential to close connectivity gaps, strengthen resilience during emergencies and drive innovation in satellite communications.

The acquisition might position Amazon as a significant competitor in the sector, while supporting broader ambitions to bridge the digital divide and extend reliable connectivity to underserved regions.

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Shubha Mitra
Shubha Mitra
Shubha Mitra is an Assistant Editor at EFY, keenly interested in policies and developments shaping the electronics business.

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