Amazon to Acquire Globalstar in $11.57 Billion Bet on Satellite Internet

Amazon announced on April 14 that it will acquire Globalstar in an $11.57 billion deal, strengthening its satellite business as it positions itself to compete with Starlink, led by Elon Musk. The acquisition gives Amazon access to Globalstar’s network of about two dozen satellites, significantly boosting its space-based connectivity ambitions.

Globalstar shares surged more than 9% in premarket trading following the announcement, extending recent gains driven by deal speculation. The stock had nearly doubled over the past year and was already up around 12% in 2026 before the news broke. Meanwhile, Amazon’s shares saw a modest uptick of about 1% on Tuesday.

Deal Structure and Shareholder Options

Under the terms of the agreement, Globalstar shareholders can choose between receiving $90 in cash or 0.3210 shares of Amazon common stock for each share held, offering flexibility in how they participate in the deal.

Amazon’s Satellite Expansion Plans

Amazon is accelerating its satellite rollout strategy, aiming to deploy approximately 3,200 satellites in low-Earth orbit by 2029. Around half of these must be operational by a July 2026 regulatory deadline. Currently, the company operates over 200 satellites and is preparing to launch its satellite internet services later this year.

Despite Amazon’s push, Starlink remains the dominant global player in satellite internet, with a constellation of around 10,000 satellites and a user base exceeding nine million worldwide.

Globalstar’s Role and Apple Partnership

Based in Covington, Louisiana, Globalstar is widely known for enabling Apple’s Emergency SOS feature. The company currently operates about two dozen satellites and plans to expand its constellation to 54 satellites, supported by Apple. It offers voice, data, and asset-tracking services across enterprise, government, and consumer segments.

Ongoing Collaboration and Deal Timeline

In parallel, Amazon and Apple, both of which have collectively invested about $1.5 billion in Globalstar, will continue supporting satellite-based safety features such as Emergency SOS and Find My on iPhones and Apple Watches. The acquisition is expected to close next year, subject to regulatory approvals and the achievement of specific satellite deployment milestones.

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