Globalstar Inc. shares jumped more than 15% in after-hours trading on Wednesday after a report said Amazon.com Inc. is in talks to acquire the satellite communications company, citing people familiar with the matter.
The Financial Times reported Wednesday that the companies were still negotiating some of the deal’s complexities after lengthy talks. One major complication is Apple Inc.’s 20% stake in Globalstar, which the iPhone-maker acquired in 2024 as part of a $1.5 billion investment to expand the satellite company’s constellation and ground infrastructure.
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A deal with Globalstar could strengthen Amazon’s low-Earth-orbit satellite internet business, dubbed Leo, as it pushes toward commercial service. Amazon has launched more than 200 satellites since April 2025 and is seeking more time from the FCC to meet a mid-2026 deployment deadline for roughly 1,600 satellites.
Amazon is trying to catch up to Elon Musk’s SpaceX, whose Starlink network already has a huge lead in both the number of satellites and the number of users.
Globalstar already has launch agreements tied to SpaceX’s replacement satellites and third-generation network buildout, which keeps the company connected to one of the most important operating platforms in the space economy.
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A report by Bloomberg in October 2025 suggested that GSAT was exploring a potential sale and held early discussions with SpaceX.
A CNBC report on Wednesday said that SpaceX has confidentially filed for an initial public offering, a deal that could value the company at more than $1.75 trillion and rank as the biggest IPO in U.S. history.
Globalstar’s next major catalyst could arrive around its estimated May 7 earnings report, with analysts expecting the company to narrow its loss to 1 cent a share from 16 cents a year earlier. Analysts also expect revenue to rise to $70.59 million from $60.03 million, signaling stronger top-line growth even as profitability remains under pressure.
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