Amazon Will Acquire Apple’s 20% Stake in Satellite Firm Globalstar

Why It Matters

By consolidating full ownership of Globalstar, Amazon strengthens its position in the emerging satellite‑based connectivity market, giving it greater control over network upgrades and revenue streams. The acquisition also signals intensified competition with SpaceX and other players for mobile satellite services.

Key Takeaways

• Amazon will acquire Apple’s 20% stake in Globalstar
• Deal adds roughly $1.1 billion of equity to Amazon’s satellite portfolio
• Amazon plans constellation upgrades to improve signal strength and coverage
• Apple will retain satellite service partnership despite losing ownership

Pulse Analysis

Amazon’s purchase of Apple’s 20% stake in Globalstar marks the final step in a $12.7 billion consolidation of the satellite operator. After agreeing to an $11.6 billion acquisition earlier this year, the tech giant will now own 100% of Globalstar’s licensee, giving it unfettered control over a network that already supports emergency messaging on iPhones. Full ownership enables Amazon to align Globalstar’s roadmap with its broader cloud and logistics ambitions, positioning the company to monetize satellite connectivity for everything from rural broadband to supply‑chain tracking.

The filing highlights Amazon’s intent to upgrade Globalstar’s 1.6/2.4 GHz mobile satellite service (MSS) constellation. Improvements aim to boost signal penetration through foliage, buildings and adverse weather, while expanding voice capabilities that were previously limited. Those technical gains could narrow the performance gap with SpaceX’s Starlink Mobile, which already offers high‑throughput broadband, and AST SpaceMobile’s direct‑to‑phone service. By enhancing reliability and expanding coverage, Amazon hopes to attract enterprise customers seeking resilient communications for remote sites, disaster response, and IoT deployments.

Apple will relinquish its equity but retain Globalstar as a satellite service provider for its devices, preserving the emergency SOS feature that millions rely on. The transaction, filed with the FCC, underscores the growing regulatory scrutiny of satellite constellations as they intersect with consumer telecom. For the industry, Amazon’s full control may accelerate the rollout of new services and set a precedent for tech firms bundling satellite assets with cloud and e‑commerce platforms, reshaping how connectivity is delivered in underserved markets.