Amazon agreed on 14 April to acquire Globalstar, the Louisiana-based mobile satellite services operator, for $90.00 per share in cash or Amazon stock, a transaction valued by media at about $11.57bn.
Why Amazon.com, Inc. is buying Globalstar, Inc.
Amazon said Globalstar's satellites, mobile satellite spectrum licences and operational expertise would let Amazon Leo add direct-to-device services, extending voice, text and data to mobile customers beyond terrestrial networks. Amazon plans to deploy its own next-generation D2D satellite system from 2028, and signed a separate agreement with Apple for Amazon Leo to power satellite features on iPhone and Apple Watch, including Emergency SOS.
“There are billions of customers out there living, traveling, and operating in places beyond the reach of existing networks, and we started Amazon Leo to help bridge that divide”
Deal terms and financing
Globalstar holders can elect $90.00 in cash or 0.3210 Amazon shares, with the stock value capped at $90.00 and cash elections limited to 40% of total shares. Holders of a majority of voting power approved the deal by written consent, so no stockholder meeting is needed. Amazon will also acquire Apple's 20% stake in a Globalstar subsidiary set up for its next-generation constellation, according to FCC filings.
Regulatory approvals and timing
The HSR waiting period expired on 17 July 2026, Globalstar reported. The FCC opened its review in June, and the parties are still working with the FCC and international merger-control, foreign-investment and communications authorities. Closing, expected in 2027, also depends on Globalstar meeting HIBLEO-4 replacement satellite milestones.
Market context
Amazon Leo is Amazon's low Earth orbit broadband constellation, operated by Kuiper Systems LLC. Under the FCC application, Globalstar would become a wholly owned Amazon subsidiary and operate as an affiliate of Amazon Leo, retaining its corporate identity.
