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Amazon has agreed to acquire mobile satellite operator Globalstar, a move designed to bring licensed MSS spectrum and an existing LEO fleet into Amazon Leo as it develops a direct-to-device satellite system for phones and other cellular endpoints.
Direct-to-device (D2D) satellite connectivity has quickly shifted from an emergency backstop into a strategic layer for national coverage, disaster resilience and remote operations. For the IoT sector, it also reopens an old question with new urgency: who controls the spectrum rights, service platforms and commercial relationships that sit between terrestrial mobile networks and satellites?
Amazon’s answer, at least for its Amazon Leo ambitions, is to buy its way into that stack. Amazon and Globalstar said they have signed a definitive merger agreement under which Amazon will acquire Globalstar. The deal is framed as a way for Amazon Leo to add D2D services to its low Earth orbit satellite network and to help mobile network operators extend voice, text and data service beyond terrestrial coverage.
In parallel, Amazon and Apple announced an agreement for Amazon Leo to power satellite services for supported iPhone and Apple Watch models, including Emergency SOS via satellite and other satellite features already associated with Globalstar-supported devices.
Why this deal is different from a typical “satellite + telco” announcement
Most satellite-to-phone announcements revolve around roaming-style partnerships or technology trials. This one is structurally different because Amazon is pursuing ownership of a long-standing MSS operator and its spectrum licenses with global authorizations, alongside satellite operations and ground infrastructure. In other words, Amazon is not only adding capacity; it is buying regulated assets and operational experience that can be hard to replicate quickly, especially in D2D where spectrum position and licensing matter as much as satellites themselves.
Globalstar’s existing satellite fleet and its new satellites with expanded capabilities will operate alongside the Amazon Leo broadband system and Amazon’s planned D2D system, according to the announcement. That “alongside” phrasing signals an architectural intent to run multiple satellite service layers under one umbrella rather than treating D2D as a bolt-on feature disconnected from broadband satellites and ground networks.
What Amazon says it will build: a next-generation D2D system starting in 2028
Amazon said that beginning in 2028 it will deploy a next-generation Amazon Leo D2D satellite system intended to deliver more advanced voice, data and messaging services to mobile phones and other cellular devices. The company also claims the system will provide substantially higher spectrum use and efficiency than legacy direct-to-cell systems, and that it will integrate with Amazon’s first- and second-generation Leo systems into a unified network supporting both fixed and mobile satellite services.
One key implication for IoT professionals: if Amazon succeeds in unifying fixed broadband-style satellite connectivity with D2D, it could reduce the need for separate connectivity strategies across use cases. Enterprises that today split deployments between satellite terminals for sites and cellular or LPWAN for mobile assets may see new packaging options—particularly when endpoints move between full-coverage areas and “off-grid” environments.
Apple’s agreement turns a satellite capability into a consumer-scale anchor tenant
The Apple element matters because it formalises a high-visibility device ecosystem around Amazon Leo’s satellite roadmap. Globalstar currently supports Apple satellite service on iPhone 14 or later and certain Apple Watch models; Amazon said it will continue to support the current and upcoming low Earth orbit constellations used for these features and collaborate with Apple on future satellite services using Amazon Leo’s expanded network.
For the broader ecosystem, this is a reminder that D2D is increasingly driven by consumer handset platforms, not only by enterprise satcom. That shift tends to pull D2D toward familiar mobile user experiences—messaging, location sharing, roadside assistance—and away from specialised terminals. Over time, that can create a larger addressable base for “satellite-ready” devices, which is relevant for industrial OEMs evaluating whether satellite fallbacks will become a standard checkbox feature in cellular device roadmaps.
What the acquisition could mean for MNOs, OEMs and integrators
Amazon positions the D2D layer as an extension of mobile operator service, and said it plans to work with MNOs and additional partners. For MNOs, the deal raises a practical procurement question: will Amazon Leo D2D be offered primarily as a wholesale extension of the operator’s footprint, or as an Amazon-branded overlay that operators integrate commercially? The answer will influence everything from SIM provisioning and service assurance to customer support models during outages.
For OEMs and system integrators in asset tracking, remote monitoring and safety, the near-term takeaway is timing. Amazon’s own D2D system is described as starting deployment in 2028, while the Globalstar fleet and upcoming satellites are expected to operate alongside Amazon Leo’s broadband system earlier in the transition. That suggests a multi-year period where solution providers may encounter more than one “generation” of satellite capability under the Amazon Leo umbrella, with different operational characteristics and integration requirements.
Enterprises and public-sector users are likely to view the announcement through resilience. The companies explicitly point to terrestrial network failures during disasters as a rationale for D2D fallback. For critical infrastructure operators, the potential value is less about replacing existing private networks and more about adding a last-resort communications layer that still uses familiar cellular devices.
Deal mechanics and timeline
Under the agreement, Globalstar shareholders will receive up to $90 per share in a mix of cash and Amazon stock, with the exact composition subject to certain limits. The overall consideration may be adjusted if specific operational milestones are not met.
Globalstar shareholders representing approximately 58% of voting power have approved the transaction by written consent. The deal is expected to close in 2027, subject to regulatory approvals and the achievement by Globalstar of certain HIBLEO-4 replacement satellite milestones.
For the satellite IoT market, the headline is not just another constellation plan. It is a vertical move by a hyperscale player into spectrum-backed MSS operations—paired with a consumer-device agreement—that could reshape how D2D is procured, integrated and monetised across both enterprise IoT and mainstream mobile services.
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