Amazon Just Bought Apple’s Satellite Partner for $11.6 Billion

Don’t panic: iPhone satellite SOS and Messages are safe under a new deal with ‘Amazon Leo.’
satellite in earth orbit Andrey Armyagov / Shutterstock
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Earlier this month, we reported on Amazon’s planned $9 billion acquisition of Globalstar and how it could affect Apple. Why? Well, Globalstar’s satellite network powers nearly all the satellite features found on the iPhone and Apple Watch.

Amazon and Globalstar announced a final agreement today that sees the retail giant acquiring the satellite operator in a deal that actually turned out to be valued at $11.57 billion. Amazon says it will use Globalstar satellites, radio frequency spectrum, and operational expertise to enable its own satellite internet service, Amazon Leo, to add Direct-to-Device (D2D) services to its low Earth orbit satellite network.

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The good news is that fears that Apple might have been cut out of the loop can also be put to rest. In the same announcement, Amazon added that it’s entered an agreement with Apple to ensure iPhone and Apple Watch satellite services will continue to operate over the new Amazon Leo network, including Emergency SOS, Messages via satellite, Find My, Roadside Assistance via satellite, and more.

There are billions of customers out there living, traveling, and operating in places beyond the reach of existing networks, and we started Amazon Leo to help bridge that divide. By combining Globalstar’s proven expertise and strong foundation with Amazon’s customer-obsession and innovation, customers can expect faster, more reliable service in more places—keeping them connected to the people and things that matter most. We’re excited to support Apple users through the Leo D2D system, and look forward to working with mobile network partners to help extend coverage to every corner of the planet.

Panos Panay, Amazon’s senior vice president of Devices & Services

Most of Apple’s iPhone and Apple Watch satellite services currently use Globalstar’s low Earth orbit satellite network, which is being built by MDA Space. Amazon also said it will continue to work in the future with Apple on developing more satellite services to run on the expanded Leo network.

Apple and Amazon have a long and proven track record of working together through Amazon’s core infrastructure services, and we look forward to building on that collaboration with Amazon Leo. This ensures our users will continue to have access to the vital satellite features they have come to rely on, including Emergency SOS, Messages, Find My, and Roadside Assistance via satellite, so they can stay safe and connected while off the grid.

Greg Joswiak, Apple’s senior vice president of Worldwide Marketing

Amazon’s purchase of Globalstar is expected to close in 2027, and the deal is subject to the usual regulatory approvals. It was reported in October that Globalstar was looking for a buyer and had held early talks with SpaceX before the Amazon stepped forward. 

As noted by Mactrast, there were concerns that Apple could put the kibosh on any Amazon-Globalstar deal, due to Apple’s previous $1.5 billion investment in Globalstar, which came in the form of $1.1 billion to finance the construction and launch of Globalstar’s satellites, as well as a $400 million investment that bought a 20% passive equity interest in Globalstar. All of that was a long-winded way to say Apple’s stake gave it an influential seat at the table during these negotiations. Apple currently has access to 85% of the satellite carrier’s network capacity for its iPhone and Apple Watch features.

Apple is reportedly working on several new satellite-based features and services for its devices, many of which will likely require upgrades to the Globalstar infrastructure. The new features reportedly include 5G via satellite, satellite weather, Apple Maps via satellite, sending photos in Messages while connected via Satellite, a third-party developer satellite API, and much more.

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