FCC Approves Amazon Leo's Acquisition of Globalstar for Direct-to-Device Services

FCC Approves Major Satellite Acquisition

The US Federal Communications Commission (FCC) has granted approval for Amazon Leo's $11.5 billion acquisition of mobile-satellite operator Globalstar. This regulatory clearance allows Amazon to proceed with integrating Globalstar's assets into its satellite operations.

Strategic Expansion for Direct-to-Device Services

Amazon stated the acquisition is intended to expand Leo's space-based footprint and facilitate direct-to-device service for its growing satellite network. The FCC noted that the combined entities are expected to enhance Amazon Leo's entry into the direct-to-device segment, offering fixed and mobile services to various customer types.

The FCC also indicated that the deal is likely to benefit the public by improving data coverage in areas currently underserved by existing infrastructure.

Globalstar's Role and Apple Connectivity

Globalstar is known for providing emergency satellite connectivity for compatible Apple iPhones and Watches. Prior to the acquisition, Apple held a 20 percent stake in Globalstar. As part of the new arrangement, Amazon Leo will power satellite services for supported iPhone and Apple Watch models.

Amazon Leo's Ongoing Satellite Development

Amazon Leo, a competitor to SpaceX's Starlink, has been actively expanding its satellite operations. The company recently reported having 400 satellites in orbit and launched high-quality satellite internet service in Uzbekistan. Amazon also added six new Arianespace launches and plans to deploy over 3,000 low-earth orbit satellites in the near future.