Amazon Eyes $8.8B Globalstar Acquisition to Expand Satellite Internet Network

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Amazon is in talks to acquire Globalstar for about $8.81 billion, negotiating the complexities of a potential deal with current shareholders. Globalstar’s low-Earth-orbit network serves nearly 800,000 subscribers, and Apple’s 20% stake must be resolved before closing.

1. Acquisition Negotiations Underway

Amazon has initiated talks to acquire Globalstar in a transaction valued at approximately $8.81 billion. Discussions focus on purchase price, timing and obtaining approval from major stakeholders before finalizing the agreement.

2. Apple's Stake and Shareholder Complexity

Apple holds a 20% equity stake in Globalstar from a 2024 $1.5 billion investment to expand satellite infrastructure. That significant position requires separate negotiations and agreement on valuation adjustments.

3. Competitive Landscape against Starlink

Globalstar operates a low-Earth-orbit network serving nearly 800,000 subscribers, bolstering Amazon’s Leo constellation ambitions. However, SpaceX’s Starlink network, with over 9,600 satellites and nine million users, remains the dominant market force.

Sources

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