Amazon Acquires Globalstar for $11.57 Billion to Boost Project Kuiper Satellite Network

Amazon announced the acquisition of satellite operator Globalstar for approximately $11.57 billion, adding Globalstar's satellites and ground infrastructure to its Project Kuiper broadband network, which has been rebranded as Amazon Leo.

The deal positions Amazon to compete more directly with SpaceX's Starlink, which has built a large lead in the satellite internet market. Globalstar operates a network of low-earth orbit satellites and has existing partnerships with Apple for emergency satellite connectivity in iPhones.

The acquisition includes a partnership with Apple to provide satellite connectivity in future iPhones and Apple Watches, expanding the feature beyond emergency use to broader connectivity applications.

Amazon has been building Project Kuiper for several years, with plans to launch thousands of satellites to provide broadband internet to underserved areas. The company has faced delays in its launch schedule but has been accelerating its efforts in 2026.

Separately, Amazon is making a major bet on AI infrastructure. The company is investing $5 billion immediately in Anthropic, with the potential for up to $20 billion more over time. Anthropic committed to spending over $100 billion on Amazon Web Services over the next decade, including using Amazon's Trainium2 and Trainium3 chips and securing up to 5 gigawatts of AI capacity.

Blue Origin's New Glenn rocket completed its third launch in April 2026, successfully reusing a first-stage booster for the first time. However, the second stage placed AST SpaceMobile's BlueBird 7 satellite into a lower-than-planned orbit, rendering it unusable. The FAA grounded the New Glenn rocket following the mishap.

A Starlink outage disrupted drone tests in April, highlighting the risks of concentrating critical communications infrastructure with a single provider.