🛰️Amazon Buys Globalstar for $11.57 Billion to Boost Satellite Business
Amazon's $12B Bet on Satellite Internet
TL;DR
Amazon acquires Globalstar for $11.57 billion, expanding its satellite internet business with over 3,200 satellites planned in low-Earth orbit.
Amazon has agreed to buy Globalstar for $11.57 billion in cash, a move that will significantly boost its young satellite business, Amazon Leo. The acquisition includes all of Globalstar's satellite operations, infrastructure, and mobile satellite services spectrum licenses. This deal is worth $90 per share, with the Federal Communications Commission (FCC) deadline for 1,600 satellites in orbit by July this year being extended. Amazon Leo plans to deploy more than 3,200 satellites in low-Earth orbit, with a roster of customers including Delta Airlines, AT&T, Vodafone, Australia's National Broadband Network, and NASA. The company had to ask the FCC for an extension due to its current pace of launching about 200 satellites so far. Amazon Leo aims to develop a network of 'thousands of advanced satellites in low-Earth orbit' that will support hundreds of millions of customer endpoints around the world.
Key Points
Amazon agreed to buy Globalstar for $11.57 billion in cash
The acquisition includes all of Globalstar's satellite operations, infrastructure, and mobile satellite services spectrum licenses
Amazon Leo plans to deploy more than 3,200 satellites in low-Earth orbit
Why It Matters
This acquisition will impact developers working on satellite-based projects, as Amazon's expanded satellite business will offer new opportunities for integration with its existing broadband and satellite systems. Developers can expect increased competition and innovation in the satellite internet market.
Frequently Asked Questions
Why does this matter?
This acquisition will impact developers working on satellite-based projects, as Amazon's expanded satellite business will offer new opportunities for integration with its existing broadband and satellite systems. Developers can expect increased competition and innovation in the satellite internet market.
What happened?
Amazon acquires Globalstar for $11.57 billion, expanding its satellite internet business with over 3,200 satellites planned in low-Earth orbit.
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