Amazon in Advanced Talks to Acquire Globalstar in Starlink Rivalry Move

Amazon.com Inc (NASDAQ: AMZN) is reportedly in advanced negotiations to acquire satellite operator Globalstar Inc (NASDAQ: GSAT), marking a bold strategic push by the tech giant to challenge SpaceX's dominant Starlink network. According to a Bloomberg report citing sources familiar with the matter, a formal deal announcement could come as early as Tuesday.

This development follows an earlier Financial Times report indicating that Amazon was nearing an agreement with Globalstar. The acquisition would significantly accelerate Amazon's ambitions in the low Earth orbit (LEO) satellite internet market, a space currently dominated by Elon Musk's SpaceX, which operates a fleet of over 10,000 satellites under the Starlink brand.

Amazon has been quietly building its own satellite internet venture, known as Project Kuiper, but currently has only approximately 180 satellites in orbit — a fraction of SpaceX's expansive constellation. Acquiring Globalstar would offer Amazon a shortcut to scaling its satellite infrastructure and gaining a stronger competitive foothold in the rapidly growing global broadband market.

One notable hurdle in finalizing the deal is Apple Inc's (NASDAQ: AAPL) existing 20% ownership stake in Globalstar. Apple made a $1.5 billion investment in the satellite company back in 2024, primarily to support its emergency satellite connectivity features on iPhones. This means Amazon would need to enter direct negotiations with Apple before any transaction can be completed, adding a layer of complexity to the deal.

Investor enthusiasm around Globalstar's takeover potential has been strong, with the company's stock surging approximately 273% over the past year. Market analysts view Globalstar as a strategically valuable asset given its licensed spectrum and satellite infrastructure, both critical components for any company looking to compete in the next generation of satellite broadband connectivity.