Amazon to Acquire Apple's Globalstar Stake

Amazon is set to acquire Apple's 20 percent stake in Globalstar as part of its $11.6 billion purchase of the satellite communications company.



First spotted by PCMag, details about the transaction were revealed in a new Federal Communications Commission filing submitted by Amazon and Globalstar. As part of the merger structure, Amazon created a subsidiary named Grapefruit Acquisition Sub II, which will acquire the equity and voting interests Apple secured in Globalstar through its 2024 investment.


Apple's satellite features are not going away. Amazon said it plans to continue supporting and improving the infrastructure behind Emergency SOS via satellite and Messages via satellite for iPhone users. In the filing, the company said its planned investments and technical upgrades will strengthen the 1.6/2.4 GHz mobile satellite services network currently used by millions of iPhone owners in areas without cellular coverage.

Amazon also outlined broader ambitions for Globalstar's future. The company plans to continue development of Globalstar's planned 48-satellite C-3 constellation while deploying a next-generation direct-to-device satellite network designed to operate alongside Globalstar's existing HIBLEO-4 and HIBLEO-X systems.

According to the filing, the new system is being designed to provide faster connection times, higher capacity, improved signal quality, and expanded coverage using phased-array antenna technology operating in the L-band and S-band spectrum. Amazon said the long-term goal is to support robust voice, text, and data connectivity for compatible mobile phones and IoT devices without requiring specialized hardware.

The move positions Amazon more directly against competitors such as SpaceX, AST SpaceMobile, and Lynk in the growing satellite-to-phone market. Amazon told regulators it ultimately plans to provide satellite connectivity services for smartphones and mobile devices "across multiple carriers and vendors" worldwide.