By Adam Clark

Amazon.com is reportedly in negotiations to acquire satellite company Globalstar. But Apple might pose an obstacle to a purchase that would boost the e-commerce company's push into space.

Amazon has been in lengthy talks with both Globalstar and Apple, which holds a 20% stake in the satellite operator, according to The Financial Times, citing people familiar with the matter.

Amazon, Globalstar, and Apple didn't immediately respond to requests for comment from Barron's. Amazon and Globalstar declined to comment to the FT.

Globalstar shares rose 15% in after-hours trading on Wednesday following the report. The stock has more than tripled in value in the past 12 months, supercharged first by an agreement with Apple that included an up-to $1.5 billion investment by the iPhone maker and an expanded services agreement, and then by speculation over a potential sale of the company.

With a market capitalization of around $8.8 billion at the close of Wednesday's trading, the acquisition of Globalstar wouldn't be a huge expenditure for Amazon. But it would accelerate its plans for a low-Earth-orbit satellite constellation to rival Elon Musk's SpaceX.

Amazon plans to have a space-based Wi-Fi service that by the end of the decade -- if all goes to plan -- will have more than 3,000 satellites offering data services to Amazon Web Services clients and others. It renamed the initiative Amazon Leo from Project Kuiper last year and has launched its first satellites.

Globalstar already has a functioning 25-satellite fleet and is planning a new 48-satellite constellation. However, Amazon will have to figure out how to reconcile its interests with those of Apple, which uses Globalstar to provide the ability for users to send text messages, call emergency assistance, and seek roadside help in areas where cellphone service isn't available.

Write to Adam Clark at adam.clark@barrons.com

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April 02, 2026 03:50 ET (07:50 GMT)

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