Seattle, Washington, April 14, 2026
In a major escalation of the global satellite internet race, Amazon has announced an $11.57 billion acquisition of Globalstar, positioning itself to directly challenge SpaceX’s Starlink network led by Elon Musk.
The deal significantly strengthens Amazon’s Project Kuiper, its ambitious initiative to build a global satellite broadband network.
The acquisition includes Globalstar’s network of roughly two dozen satellites, which will be integrated with Amazon’s existing constellation of more than 200 low-Earth orbit satellites. Amazon aims to scale this network to around 3,200 satellites by 2029.
The move is widely seen as a strategic push to close the gap with Starlink, which already operates over 10,000 satellites and serves millions of users worldwide.
Direct-to-Device Technology a Game Changer
A key highlight of the deal is Globalstar’s Direct-to-Device (D2D) technology, which allows mobile phones to connect directly to satellites without relying on traditional cell towers.
This capability is expected to play a critical role in:
- Emergency communications
- Remote and rural connectivity
- Disaster response scenarios
Amazon plans to roll out D2D services by 2028, positioning itself as a major player in next-generation connectivity.
Apple Partnership and Market Impact
The acquisition also ensures continuity for Apple’s satellite-based features, including Emergency SOS and Find My services, supported by a prior $1.5 billion investment in Globalstar.
Following the announcement, Globalstar shares surged more than 9%, while Amazon stock rose approximately 2.5%, reflecting strong investor confidence in the deal.
Deal Structure and Regulatory Path
Under the agreement, Globalstar shareholders can opt for $90 in cash or 0.3210 Amazon shares per share, representing a premium of over 31%.
The transaction is subject to approval by the Federal Communications Commission and is expected to close in 2027.
Industry Implications
Analysts say the acquisition accelerates Amazon’s position in the rapidly evolving satellite communications sector, particularly in direct-to-device connectivity, which is emerging as a key battleground.
The deal also reflects broader consolidation trends in the space and telecom industries, as companies race to dominate global internet infrastructure.
With Project Kuiper gaining momentum, the competition between Amazon and Starlink is set to intensify—reshaping the future of connectivity on Earth and beyond.
