Amazon in Talks to Buy Globalstar for $9 Billion to Boost Project Kuiper
Amazon is in talks to acquire Globalstar for about $9 billion, requiring separate negotiation with Apple due to its 20% stake and reserved 85% satellite capacity for emergency texting. It would accelerate Project Kuiper ahead of a July 2026 FCC launch quota and bolster Amazon’s competitiveness against Starlink.
1. Deal Terms and Valuation
Amazon is negotiating to acquire Globalstar in a transaction valuing the satellite telecom operator at roughly $9 billion. No agreement has been finalized and discussions could still shift or collapse as both parties work through deal structure and price adjustments.
2. Apple’s Stake and Capacity Reservation
Apple holds a 20% stake in Globalstar acquired for $1.5 billion in 2024, which requires Amazon to negotiate separately with Apple for that portion of equity. Under the current arrangement, Globalstar reserves 85% of its network capacity for Apple’s satellite-based emergency texting feature.
3. Project Kuiper Acceleration
Amazon’s satellite arm, Project Kuiper, has deployed over 180 satellites and plans to reach 700 by mid-2026. The deal would help meet an FCC requirement of 1,600 launches by July 2026, for which Amazon has already sought a two-year extension.
4. Competitive Implications
Acquiring Globalstar would give Amazon enhanced spectrum and ground infrastructure to challenge SpaceX’s Starlink, which operates more than 10,000 active satellites. The move also supports planned in-flight internet services with JetBlue in 2027 and Delta in 2028, intensifying pressure on rival networks.