Amazon has made its boldest move yet in the race for space-based internet, signing an $11.57 billion deal to acquire satellite telecom company Globalstar, a strategic bet that escalates its rivalry with Elon Musk’s Starlink and reshapes the future of global connectivity.
The acquisition gives Amazon immediate access to Globalstar’s existing low-Earth orbit satellite network around two dozen operational satellites and, more importantly, its direct-to-device (D2D) communication technology. This capability allows smartphones to connect directly to satellites without relying on traditional telecom towers, a breakthrough that could redefine connectivity in remote areas, disaster zones, and even everyday mobile usage.
The deal is central to Amazon’s broader satellite ambitions under its Project Kuiper initiative (now rebranded as Amazon Leo), which aims to deploy over 3,200 satellites by 2029. While Amazon plans to roll out services as early as mid-2026, it remains significantly behind Starlink, which already operates more than 10,000 satellites and serves millions of users globally.
What makes this acquisition particularly strategic is not just infrastructure, but positioning. Globalstar brings with it valuable wireless spectrum rights and existing partnerships including its ongoing collaboration with Apple for satellite-enabled emergency features on iPhones. Amazon has confirmed that these partnerships will remain intact, ensuring continuity while strengthening its own ecosystem play.
However, the move also highlights Amazon’s structural challenges in the space race. Unlike SpaceX, which vertically integrates rocket launches through its Falcon 9 program, Amazon still faces bottlenecks in getting satellites into orbit. It has launched only a fraction of its planned constellation so far and continues to depend partly on third-party launch providers including, ironically, SpaceX itself.
Despite these hurdles, the Globalstar acquisition signals a clear shift in Amazon’s strategy from building slowly to scaling aggressively. By combining Globalstar’s satellite assets with its own cloud infrastructure (AWS) and consumer ecosystem, Amazon is positioning itself to compete not just in broadband internet, but in the next frontier: seamless, always-on global connectivity that spans devices, industries, and geographies.
The broader satellite internet market is also evolving rapidly. What began as a solution for rural broadband is now expanding into aviation, maritime, defense, and direct-to-phone services turning space into the next major battleground for tech giants.
