SEATTLE — Amazon closed a $10.8 billion acquisition of Globalstar on Monday, marking the company's largest space-sector investment and escalating competition with SpaceX's Starlink network.
The deal values Globalstar at approximately 15 times trailing revenue, a premium reflecting Amazon's urgency to deploy Project Kuiper, its planned constellation of 3,236 satellites. Globalstar operates 48 low-Earth orbit satellites and holds spectrum licenses across 120 countries — regulatory assets that typically require years to secure independently.
Amazon has committed $10 billion to Kuiper since 2019 but has launched zero commercial satellites. Starlink, by contrast, operates over 6,000 satellites serving 4 million subscribers across 100 countries. The Globalstar purchase provides immediate orbital infrastructure and an existing customer base of 745,000 devices, predominantly in maritime and emergency services.
The acquisition follows a pattern of tech giants buying spectrum and satellite assets rather than building from scratch. Apple purchased 20% of Globalstar in 2022 for $450 million to power iPhone emergency messaging — a stake Amazon will now control.
Industry analysts note the deal's defensive posture. Starlink generated an estimated $6.6 billion in 2025 revenue, capturing 90% of the commercial satellite internet market. Amazon Web Services, which accounts for 63% of Amazon's operating income, faces potential disruption if Starlink integrates deeply with enterprise cloud services.
The transaction also positions Amazon in the emerging military satellite market. The Pentagon awarded SpaceX a $1.8 billion contract in 2023 for Starshield, a classified network. Globalstar holds Department of Defense contracts worth $340 million, relationships Amazon inherits immediately.
Regulatory approval remains uncertain. The Federal Communications Commission must authorize the transfer of Globalstar's spectrum licenses, a process that typically requires 6-12 months. Amazon declined to comment on integration timelines or whether Globalstar will operate as an independent subsidiary.