FCC Clears Amazon's $11.5B Globalstar Deal

amazon amazon leo apple direct-to-device fcc globalstar satellite connectivity subscription infrastructure telecom Nov 02, 2026

Amazon is closer to acquiring the satellite business behind Apple's existing connectivity features. The deal also supports its plans to provide satellite coverage for mobile carriers, giving Amazon a potentially larger role in services other companies sell to their customers.

The Federal Communications Commission approved Amazon's proposed $11.5 billion acquisition of Globalstar on October 27. The deal would give Amazon control of an established satellite business, including its infrastructure and licensed radio spectrum, as the company expands its own satellite network.

Announced in April, the acquisition is expected to close in 2027, subject to remaining conditions.

Apple's Existing Satellite Services

Globalstar provides the satellite connections behind Apple's Emergency SOS, messaging, location-sharing and roadside-assistance features on supported devices. These services help customers stay connected when they're beyond the reach of traditional mobile networks.

Amazon and Apple have agreed to continue supporting those features using Globalstar's existing and planned satellites. The companies also intend to work together on future capabilities as Amazon expands its network. Apple would continue managing the experience for its device users, with Amazon supplying the satellite infrastructure behind it.

Amazon's Plans for Mobile Coverage

Amazon has larger plans for the business. Beginning in 2028, it intends to deploy a new generation of satellites capable of connecting directly to mobile phones and other cellular devices, supporting voice calls, messaging and data services in places where traditional coverage is unavailable.

The company wants to work with mobile carriers to extend their existing services through satellite connections. That could eventually give customers more reliable coverage without changing who provides their mobile plan.

Amazon hasn't announced consumer pricing or how carriers might package those services. Its proposed new satellite system also remains under regulatory review.

What the FCC Approved

The FCC approved the transfer of Globalstar's U.S. licenses and related authorizations to Amazon. It found that the acquisition could improve coverage in underserved areas, strengthen emergency communications and bring more competition to satellite connectivity. The decision does not authorize Amazon's separately proposed direct-to-device network.

SpaceX's Starlink and other satellite providers are also developing ways to connect mobile devices directly to satellites. Globalstar gives Amazon an existing operation and licensed spectrum as it works toward its own plans. Building and deploying the expanded network will still take time.

INSIDER TAKE

Amazon's proposed $11.5 billion acquisition would put the company behind satellite services already used on Apple devices, with plans to extend that role through mobile carriers.

For subscription operators, particularly in mobile and connected devices, owning the customer relationship doesn't mean controlling everything that makes the subscription valuable. A carrier can set the price, handle billing and remain the face of the service while depending on another company to deliver coverage subscribers may increasingly expect. The more valuable that capability becomes, the more consequential the supplier relationship may be.

Amazon hasn't disclosed how it will price its future satellite services or what terms it will offer mobile partners. Those details will help determine how much influence it gains. For carriers, the name on the customer's bill may remain the same, even as an increasingly important part of the service comes from Amazon.

Related Member Resources

Amazon's deal shows how a change behind the scenes can affect the companies delivering a service to their customers. These resources help operators examine the providers behind important capabilities and identify where their own businesses depend on outside technology.

Why Vendor History Matters When Choosing Subscription Technology
Looks at a provider's ownership and business history, including changes that could affect its direction. Useful when an acquisition may change who supplies a critical part of the subscriber experience.
Subscription Technology Stack Assessment: Is Your Stack Keeping Up?
Helps operators see which outside systems their recurring business relies on, where dependencies have grown and what could be affected if a provider changes.