Amazon to Pay $11.6B for Globalstar and Secures Fox AI Cloud Deal
Amazon plans to acquire Globalstar for $11.57 billion, its second-largest deal, to integrate spectrum licenses and accelerate IoT and enterprise connectivity offerings by 2027. Amazon Web Services secured Fox as its preferred AI and media cloud provider, deploying Elemental MediaLive, MediaPackage and AI tools to enhance streaming performance and monetization.
1. Globalstar Acquisition
Amazon has agreed to acquire Globalstar for $11.57 billion, marking its second-largest acquisition to date. The deal, expected to close in 2027, brings satellite spectrum licenses, direct-to-device credentials and IoT connectivity expertise to Amazon, positioning it as a stronger competitor to Starlink and other satellite service providers.
2. Fox AWS Partnership
Amazon Web Services was named Fox’s preferred provider for AI and media workloads, supporting the FOX One direct-to-consumer platform. AWS will supply Elemental MediaLive, MediaPackage, MediaTailor and machine learning tools to improve content delivery, streamline operations and drive monetization across Fox’s streaming services.
3. Strategic Implications
Together, these moves expand Amazon’s footprint in satellite connectivity and cloud media services, creating cross-selling opportunities across IoT, enterprise and entertainment verticals. Investors should weigh potential revenue diversification against execution risks and the substantial capital committed to these strategic initiatives.