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FCC clears Amazon's $11.5bn Globalstar deal to rival Starlink

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The US Federal Communications Commission has approved Amazon's $11.5bn purchase of the satellite telecommunications company Globalstar, a move that positions the retailer to take on SpaceX's Starlink. According to one outlet's report, the regulator's sign-off clears a deal first announced in April.

What the regulator signed off

Under the agreement, Amazon takes over Globalstar's existing satellite operations, infrastructure and licences and folds them into Leo, its space internet service.

FCC chair Brendan Carr described the authorisation as a "significant step towards supercharging next-generation connectivity". The commission also concluded that the acquisition was unlikely to cause "no material public-interest harms".

Where Amazon Leo stands today

Amazon Leo has so far deployed nearly 400 satellites in orbit, and the company says it has built more than 1,000 for its initial constellation. Its goal is to exceed 3,000 satellites in space.

Starlink, operated by SpaceX from Hawthorne, has more than 10,000 active satellites in orbit according to recent satellite tracking reports.

Direct-to-device plans gain ground

With Globalstar's assets, Amazon can add direct-to-device (D2D) services to its low Earth orbit network and widen cellular coverage. The company plans to deploy its own D2D satellite systems by 2028.

Deutsche Telekom, Orange, Telefonica and Vodafone said the bid was meant to secure "responsible European governance of key space infrastructure".

Open questions

  • Will Amazon deploy its own D2D satellite systems by 2028 as planned?

Key facts

  • The FCC has approved Amazon's $11.5bn acquisition of the satellite provider Globalstar.
  • The deal, first announced in April, brings Globalstar's satellite operations, infrastructure and licences into Amazon's Leo space internet service.

Sources & evidence