Amazon's acquisition of Globalstar is set to include the takeover of Apple’s 20% stake in the satellite connectivity firm, as announced in a recent filing with the FCC. This move comes as part of a broader $11.6 billion deal to acquire Globalstar, following an earlier announcement last month regarding the acquisition itself.
The application submitted to the FCC indicates that Amazon's newly formed subsidiary, Grapefruit Acquisition Sub II, LLC, will assume control of Apple’s equity and voting interests in Globalstar Licensee LLC. Apple had previously expanded its investment in Globalstar to $1.1 billion, increasing from an initial $300 million investment that supported the Emergency SOS feature.
Despite the changes, Amazon assures that Globalstar's ongoing collaboration with Apple will remain unaffected. The acquisition is expected to allow Amazon to enhance its satellite service capabilities, aiming to establish a next-generation global D2D network for mobile devices across various carriers.