"Apple's partnership with Globalstar is crucial, as it provides Emergency SOS via Satellite and messaging features for iPhones, with Apple holding a 20% stake and using 85% of Globalstar's network capacity."
"Globalstar's wholesale capacity services segment, primarily driven by its partnership with Apple, generated $46.29 million in Q1 FY2026, reflecting a 28% year-over-year increase, underscoring its financial significance."
"Amazon's potential acquisition of Globalstar would provide access to Apple's satellite backbone and existing LEO infrastructure, which would significantly accelerate the development of its Project Kuiper satellite program."
"The risk for Apple investors lies in the potential disruption of satellite features, which have become a key differentiator for the iPhone, especially as iPhone revenue reached a record $85.27 billion in Q1 FY2026."
Amazon is reportedly negotiating to acquire Globalstar for approximately $9 billion, which could significantly affect Apple's satellite connectivity. Apple relies on Globalstar for its Emergency SOS and messaging features, holding a 20% stake and utilizing 85% of its network capacity. Globalstar's revenue from this partnership has increased, highlighting its importance to Apple's business. For Amazon, acquiring Globalstar would enhance its satellite infrastructure for Project Kuiper, which is a key investment area. This acquisition poses risks for Apple investors regarding the future of its satellite features.
Read at 24/7 Wall St.
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