Amazon signs $11.57 billion deal for satellite firm Globalstar

Amazon will acquire Globalstar in an $11.57 billion deal, bolstering its fledgling satellite unit as it looks to take ​on Elon Musk-led bigger rival Starlink.

Amazon said on Tuesday it would acquire Globalstar in an $11.57 billion deal, bolstering its fledgling satellite business as it looks to take ​on Elon Musk-led bigger rival Starlink.

Subscribe to read this story ad-free

Get unlimited access to ad-free articles and exclusive content.

Shares of satellite company Globalstar were up more than 9% ‌in premarket trading, after gaining over 6% in the past two weeks following media reports of the companies’ discussions. The stock had nearly doubled in value last year and has risen about 12% ​so far this year, before news of an acquisition emerged. Amazon shares rose ​about 1% on Tuesday.

The deal gives Amazon access to Globalstar’s network of ⁠two dozen satellites, boosting the tech giant’s ambitions to challenge SpaceX unit Starlink, which currently ​has about 10,000 units in orbit.