Amazon · TechCrunch AI
Amazon to buy Globalstar for $11.57B in bid to flesh out its satellite biz
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Amazon is moving in on the orbital mobile connectivity market that’s currently dominated by Elon Musk’s Starlink.
Key facts
- The announcement comes days after Amazon CEO Andy Jassy touted Amazon Leo’s roster of customers, which includes Delta Airlines, AT&T, Vodafone, Australia’s National Broadband Network, and NASA
- Globalstar has more than 24 satellites in low-Earth orbit, and has agreements in place to acquire more than 50 new satellites
- The $90-per-share deal will net Amazon all of Globalstar’s satellite operations, infrastructure, and mobile satellite services spectrum licenses, enabling the larger company to flesh out its young
- The business is slated to launch with more than 3,200 satellites in low-Earth orbit, though it has faced delays and has so far launched only about 200 satellites
Summary
The $90-per-share deal will net Amazon all of Globalstar’s satellite operations, infrastructure, and mobile satellite services spectrum licenses, enabling the larger company to flesh out its young satellite business, Amazon Leo, with direct-to-device services ahead of its launch later this year. The announcement comes days after Amazon CEO Andy Jassy touted Amazon Leo’s roster of customers, which includes Delta Airlines, AT&T, Vodafone, Australia’s National Broadband Network, and NASA. The business is slated to launch with more than 3,200 satellites in low-Earth orbit, though it has faced delays and has so far launched only about 200 satellites. In comparison, the much larger Starlink currently operates more than 10,000 satellites, with which it offers internet services in about 150 countries to retail users as well as businesses, including the maritime and aviation industries.