Amazon Secures FCC Approval for $11.5 Billion Globalstar Acquisition to Expand Satellite Network

The Federal Communications Commission (FCC) announced on Tuesday that it has approved Amazon Leo’s $11.5 billion acquisition of Globalstar. The retail giant's satellite arm aims to build a comprehensive satellite-based communications network to compete with SpaceX's Starlink unit.

According to the FCC, Amazon Leo has launched more than 300 satellites since April 2025 and plans to deploy approximately 3,200 satellites in Earth's low orbit by 2029. Through the transaction, Amazon will add Globalstar's two dozen satellites to its existing network of over 200 satellites and acquire its mobile-satellite spectrum. Amazon, which has committed to investing more than $10 billion in Leo, is preparing to roll out commercial satellite services by the end of 2026.

The regulatory approval empowers the companies to combine assets that will boost Amazon Leo’s entry into the direct-to-device market, enabling the operator to offer both fixed and mobile services. Direct-to-device satellite technology allows smartphones and other devices to connect directly to satellites. Tech companies are heavily investing in this sector to capture the growing market for satellite-based connectivity as they race to rival Starlink's network of more than 11,000 satellites. Additionally, the FCC announced a vote to advance a new auction of wireless spectrum to further support direct-to-device services.

Globalstar currently powers satellite-based safety features such as Emergency SOS and Find My for Apple's iPhone and Apple Watch users. Amazon has stated that it has signed an agreement with Apple to continue providing these services.

Apple previously invested about $1.5 billion in Globalstar in 2024 to fund the expansion of its iPhone communication services, a deal that granted Apple a 20% equity stake in Globalstar. Apple accounted for approximately 63% of Globalstar's revenue last year, and the FCC noted that Amazon plans to acquire Apple's stake as part of the broader transaction. Globalstar also reported late last year that a new, Apple-backed network under development is intended to expand its footprint to 54 satellites, including a small number of backups, up from its current two dozen.

"This multi-billion dollar acquisition highlights the intensifying race among tech giants to capture market share in next-generation connectivity and direct-to-device satellite communications. By absorbing established infrastructure and existing high-profile enterprise contracts like those with Apple, Amazon is significantly accelerating its timeline to commercial deployment. Such capital-intensive consolidation demonstrates how critical low-Earth orbit networks have become for the future of global telecommunications and mobile infrastructure." — Dr. Shishir Gupta, Founder & CEO, StartupLanes