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Amazon has announced plans to acquire Globalstar in a USD 11.57 billion deal to strengthen its satellite connectivity business and compete with SpaceX's Starlink. The move will add Globalstar's satellites and spectrum capabilities to Amazon's growing network, supporting its plans to deploy thousands of satellites by 2029. The deal also advances Amazon's entry into direct-to-device (D2D) services, expected by 2028. With rising investments in satellite internet globally, the acquisition signals Amazon's intent to close the gap with established players and expand connectivity in remote and underserved regions.
Amazon.com said it plans to acquire Globalstar in a USD 11.57 billion deal as part of efforts to expand its satellite business and compete with Elon Musk's Starlink. The transaction comes as technology companies continue to invest heavily in satellite-based connectivity, a segment seen as critical for future communication infrastructure. Advertisement
With this acquisition, Amazon will add Globalstar's roughly two dozen satellites to its existing network of more than 200 satellites. The company has been scaling its satellite programme under Project Kuiper, which aims to deploy about 3,200 satellites in low Earth orbit by 2029. A key regulatory milestone requires nearly half of these satellites to be operational by a July deadline. Amazon is also preparing to roll out its satellite internet services later this year.
Globalstar operates a satellite network designed for low-data, reliable connectivity directly to mobile devices, commonly referred to as direct-to-device (D2D) technology. This system reduces dependence on ground-based cellular towers and is particularly useful for emergency services and areas with limited or no network coverage. The companies indicated that the deal would support Amazon's plans to introduce D2D services starting 2028.
The competitive landscape remains challenging, with Starlink already serving over nine million users globally through its high-speed broadband network delivered via user terminals. It is also advancing its own D2D capabilities through partnerships with telecom operators such as T-Mobile.
Armand Musey, president and founder of Summit Ridge Group, stated that Amazon had been lagging behind Starlink in satellite broadband, and the acquisition would help it strengthen its spectrum position in D2D services while accelerating deployment.
Market reaction to the development was positive. Shares of Louisiana-based Globalstar rose more than 9% in early trading, adding to gains recorded over the previous two weeks amid reports of ongoing discussions. Amazon's stock also saw an increase of about 2.5%. The move follows developments at SpaceX, which is progressing with plans for a potential stock market listing, with Starlink contributing an estimated 50% to 80% of its overall revenue.
Amazon's continued investment highlights the growing importance of satellite networks in bridging connectivity gaps, especially in remote and underserved regions, while intensifying competition in the global broadband space.
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