Amazon buys GlobalStar and takes control of Apple's Satellites
Expanding the network.
Recently, Amazon announced that they would be purchasing and taking control of GlobalStar, the company behind Apple's SOS satellite system. This satellite system of GlobalStar will now be a part of Amazon's Leo satellite system. This acquisition mainly expands Amazon Leo's network, and combines control of Apple's satellite system.
Amazon is also specifying that not only are they in deals with GlobalStar, but they are also in agreements with Apple specifically, which bodes well for the partnership. GlobalStar has dedicated around 85 percent of its networks specifically to Apple's needs, so a strong partnership between Apple and Amazon is key for them to keep business. Previously, Amazon Leo did not have D2D (direct-to-device) services, but now, with GlobalStar's network, Amazon Leo is capable of connecting to these devices and is able to "extend cellular coverage to customers beyond the reach of terrestrial networks," Amazon says.
This new expanded network is key to developing a more connected satellite system, improving safety and security. It is also important to note that Apple's satellite features are free for 2 years after activation on iPhone 14 or newer. This is interesting because most of these iPhones that support satellite are around or under 2 years old, so the revenue is still somewhat uncertain for GlobalStar. It is a bit of a gamble for them to dedicate so much of their infrastructure just to Apple. Amazon may understand that it is still a safe bet because of just how many iPhones there are.
The new GlobalStar and Amazon acquisition is interesting, and raises questions about how Apple's satellite systems will work moving forward. We will have to wait and see what Amazon does soon.
