A United Launch Alliance Atlas V rocket rests on a launch pad carrying Amazon’s Project Kuiper Internet Network satellite, which is expected to eventually rival Elon Musk’s Starlink system, at Cape Canaveral Space Force Station in Cape Canaveral, Florida, April 9, 2025.
Steve Nessius | Reuters
Amazon announced the acquisition on Tuesday. global star At $90 per share, the deal is worth $11.5 billion.
The deal will give momentum to Amazon’s nascent Leo satellite internet business, which competes with Elon Musk’s SpaceX.
Globalstar stock rose more than 9% in pre-market trading. Amazon stock rose about 1%.
Under the agreement, Amazon announced it will acquire Globalstar’s existing satellite operations, infrastructure, and assets, including certain globally licensed spectrum licenses. Globalstar’s existing satellite fleet and its new satellites will operate in parallel with Amazon’s network.
Amazon said the acquisition will enable it to build its own direct-to-device communications satellite system, which it plans to begin deploying in 2028.
“By combining Globalstar’s proven expertise and strong foundation with Amazon’s customer focus and innovation, customers can now expect faster, more reliable service in more places, allowing them to stay connected to the people and things that matter most,” Panos Panay, Amazon’s senior vice president of devices and services, said in a statement.
Globalstar shareholders will receive either $90 in cash or 0.3210 shares of Amazon common stock for each Globalstar share they own, the companies said.
Six years ago, Amazon announced plans to build a constellation of thousands of low-Earth satellites designed to provide high-speed, low-latency internet to consumers, businesses and governments, offering connectivity through square terminals.
Since last April, the company has launched more than 240 satellites through a series of rocket launches carried out by partners including United Launch Alliance and SpaceX. We recently rebranded the service from Project Kuiper to Leo.
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