Amazon to Acquire Globalstar to Launch Direct-to-Device Satellite Services via Amazon Leo

Amazon is set to acquire Globalstar in an $11.6 billion infrastructure deal, a strategic move to integrate Direct-to-Device capabilities into the newly rebranded Amazon Leo satellite network. This acquisition marks Amazon's largest push into the telecommunications space, aiming to eliminate cellular dead zones globally. By 2027, the retail giant expects to fully absorb Globalstar's assets, including its critical radio frequency spectrum and existing satellite fleet.

As part of this expansion, Amazon reached a significant agreement with Apple to maintain and enhance satellite services for iPhone and Apple Watch users. Current emergency features like SOS and Find My will transition to the Amazon Leo network, ensuring continuity for millions of mobile customers. This long-term roadmap envisions future Apple hardware leveraging Amazon's high-speed low Earth orbit constellation for even more robust off-grid connectivity.

The integration centers on Globalstar's exclusive Band 53 spectrum, which is specifically optimized for interference-free communication between satellites and standard mobile phones. Amazon Leo plans to begin rolling out advanced voice, text, and data services starting in 2028, providing a seamless bridge between satellite and terrestrial networks. This rollout will utilize the constellation's 3,236 authorized satellites to support a massive volume of customer endpoints worldwide.

Beyond mobile phones, the network will empower Amazon's own logistics and delivery operations through real-time tracking in remote areas. Customers can already access broadband via the Leo Nano, Pro, and Ultra antennas, which offer speeds ranging from 100 Mbps to 1 Gbps. The acquisition adds Globalstar's operational expertise to Amazon's growing aerospace division, streamlining the production and launch cadence of new satellite hardware.

Globalstar stockholders are offered a choice between $90.00 in cash or Amazon common stock, with the deal carrying a valuation of roughly $11.6 billion. The agreement has already secured approval from the majority of Globalstar voting power and awaits final regulatory clearance. Amazon views this investment as a cornerstone of its mission to close the digital divide and provide critical fallback communications during natural disasters.

This move positions Amazon as a formidable rival to SpaceX's Starlink by creating a vertically integrated ecosystem of retail, cloud, and satellite services. The company expects the merger to generate high-value jobs across the United States and Europe while fostering innovation in the global satellite communications sector. With thousands of satellites planned for deployment, Amazon Leo is evolving from a research project into a central pillar of global connectivity.