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Amazon signs $11.57 billion deal for satellite firm Globalstar to challenge Musk's Starlink
The deal gives Amazon access to more than 200 satellites and a separate Apple agreement to keep iPhone satellite features running.
- On Tuesday, Amazon announced an $11.57 billion agreement to acquire Globalstar, bolstering its satellite business to compete with Elon Musk-led Starlink; shareholders can choose $90 in cash or 0.3210 Amazon shares per share.
- Louisiana-Based Globalstar operates more than 200 satellites and powers Apple's "Emergency SOS" feature, supported by Apple's $1.5 billion investment to maintain safety services for Apple Watch users.
- Amazon's acquisition challenges SpaceX unit Starlink, which dominates with more than nine million global users and about 10,000 units in orbit; the deal provides Amazon access to Globalstar's two dozen low-Earth-orbit satellites.
- Following the announcement, Globalstar shares rose more than 9% in premarket trading while Amazon shares increased about 1%; the acquisition is expected to close next year pending regulatory approvals.
- Amazon aims to deploy about 3,200 satellites by 2029, with roughly half required by a July 2026 regulatory deadline; Globalstar plans to expand its network to 54 satellites, including backups.
236 Articles
236 Articles
Amazon's (NASDAQ: AMZN) Stock Price Drops $1 Amid $11.57 Billion Globalstar Deal
Amazon (NASDAQ: AMZN) has moved decisively to strengthen its position in the rapidly expanding satellite connectivity market by agreeing to acquire Globalstar in a transaction valued at $11.57 billion, signaling a major escalation in its space-based strategy. The deal underscores the company’s long-term push to build a competitive satellite network capable of delivering both internet […] The post Amazon’s (NASDAQ: AMZN) Stock Price Drops $1 Amid…
Amazon said on Tuesday it will buy a satellite company in a deal worth $11.57 billion (about 10.7 billion euros), bolstering its new space business as it aims to take on Elon Musk-led rival Starlink. The deal gives Amazon access to Globalstar's network of two dozen satellites, boosting the tech giant's ambitions to challenge SpaceX's Starlink unit, which currently has about 10,000 units in orbit. Under the deal, the satellite firm's shareholders…
In order to compete with Elon Musk's satellites, Amazon announced an acquisition for almost $12 billion in a company specializing in satellite telephony.
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