Amazon Nears Globalstar Deal as Apple’s 20% Stake May Alter SOS Coverage
Amazon’s advanced talks to acquire Globalstar could reshape the emergency satellite services powering iPhone’s SOS feature, where Apple holds a 20% stake from its $1.5B 2024 investment. Analysts also name Apple as a prime long-term growth stock, citing its device ecosystem, high-margin services and digital wallet revenue compounding potential.
1. Amazon Advances Globalstar Acquisition Talks
Amazon.com is in advanced talks to acquire Globalstar Inc. in a deal that could be announced as soon as Tuesday, though terms remain unsettled. Globalstar’s market value has risen to about $9.4 billion after its shares gained 19% pre-market, and Amazon aims to bolster its 7,700-satellite Leo network while seeking FCC deadline waivers for 1,600 satellites by July.
2. Apple's 20% Stake and Growth Outlook
Apple invested $1.5 billion in Globalstar in 2024 for a 20% stake, powering the iPhone’s emergency SOS feature and giving it leverage over future network build-out plans tied to its product roadmap. Separately, analysts highlight Apple’s strong device ecosystem, high-margin services and digital wallet revenue as drivers for long-term compounding growth.