Amazon is trying to buy Globalstar to compete with SpaceX’s Starlink

Amazon is currently in discussions to acquire Globalstar, a satellite telecommunications firm, as part of its strategy to establish a presence in the low Earth orbit satellite sector. Sources familiar with the negotiations indicate that both parties are navigating the complexities involved in finalizing the deal. A significant factor complicating the acquisition is Apple's 20 percent stake in Globalstar, which requires Amazon to engage in talks with Apple as well. The potential acquisition aims to enhance Amazon's competitive stance against SpaceX and its widely recognized Starlink internet service. As of now, no agreement has been reached, and the negotiations are subject to change or even collapse, according to insiders. In a statement, Globalstar maintained its policy of not commenting on market speculations or rumors. Similarly, Amazon has opted not to provide any comments on the situation, and Apple has not responded to inquiries. Globalstar, founded in 1991, has seen its stock prices soar due to acquisition talks, reaching a market cap of approximately $9 billion. Its shares have skyrocketed by about 230 percent over the past year, as investors speculate on its potential to compete with SpaceX. The company has garnered attention from various other parties as the demand for low Earth orbit satellite networks grows, highlighting the competitive landscape that Starlink currently dominates.