Amazon has recently unveiled plans to purchase the satellite company Globalstar in a deal worth $11.57 billion. This strategic move is part of Amazon’s efforts to enhance its space-based internet initiatives and compete with Elon Musk’s Starlink network.
The acquisition will incorporate Globalstar’s twenty-four satellites into Amazon’s existing fleet of over 200 satellites. Amazon aims to deploy around 3,200 satellites into low Earth orbit by 2029, with nearly half of them required to be operational by a regulatory deadline in July, as reported by Reuters.
Globalstar’s satellite network is specifically designed to offer Direct-to-Device (D2D) connectivity, enabling mobile phones and other devices to connect directly to satellites without depending on ground-based cellular towers. This technology is crucial for emergency services and providing coverage in remote regions with limited infrastructure. Amazon and Globalstar anticipate that the deal will enable Amazon to start offering D2D services from 2028.
Meanwhile, Starlink, SpaceX’s satellite division, currently serves over nine million users globally with high-speed broadband via user terminals. It is also working on developing D2D capabilities through collaborations with telecom companies like T-Mobile.
Amazon is getting ready to introduce its satellite internet services later this year, according to the report.