Amazon acquires Globalstar for $11.5 billion

Milan, 14 April (LaPresse) – Amazon has announced that it has reached a definitive merger agreement under which Jeff Bezos’s company will acquire the US telecommunications firm Globalstar, enabling its subsidiary ‘Amazon Leo’ to add direct-to-device (D2D) services to its low-Earth orbit satellite network and extend mobile coverage to customers beyond the reach of terrestrial networks. Amazon announced this in a statement. According to estimates by CNBC, the deal is valued at around $11.5 billion, with a consideration of up to $90 or 0.3210 Amazon ordinary shares per Globalstar share. Furthermore, the Amazon statement continues, Bezos’s company and Apple have announced an agreement under which ‘Amazon Leo’ will provide satellite services for the iPhone and Apple Watch, including the satellite-based emergency SOS service. Amazon emphasises that these new features form part of the company’s long-term vision for space-based connectivity.