Amazon is reportedly trying to snap up Globalstar, the satellite company that quietly powers key iPhone features, in a deal that could be worth around $9 billion and put it on a more direct collision course with SpaceX’s Starlink.

According to reports, Amazon has been in lengthy talks to buy Globalstar as it races to build out its low-Earth-orbit (LEO) satellite network, branded Amazon Leo, and close the gap with Starlink’s massive constellation. The potential acquisition would instantly give Amazon access to Globalstar’s existing LEO fleet and its 28 ground stations across 18 countries, rather than waiting years to scale Kuiper launches on its own.

The catch? Apple. As part of a 2024 deal, Apple agreed to invest up to $1.5 billion in Globalstar, including a $400 million equity purchase that left it with a 20 percent stake in the company. In return, Apple secured access to 85 percent of Globalstar’s network capacity to power iPhone features like Emergency SOS, Messages via satellite, Find My updates and a planned wave of next‑gen satellite services such as Apple Maps via satellite, richer Messages media, indoor connectivity improvements, and even a satellite API for third‑party apps.

That Apple stake has become a “sticking point” in the talks, forcing Amazon and Apple into separate, delicate negotiations over what happens to those long-term service guarantees if ownership changes. Apple’s agreement effectively locks up the vast majority of Globalstar’s capacity for iPhone users, so Amazon can’t just walk in, buy the company, and freely repurpose the network for its own broadband and direct-to-device ambitions without keeping Apple happy.

From a strategic angle, Globalstar is suddenly a hot asset. The company’s valuation has surged, with its market cap hovering around the $9–10 billion mark after rumors of a sale, driven by investor hopes that it could become a credible counterweight to Starlink in the LEO race. Globalstar is also working on a new 54‑satellite constellation largely funded by Apple, and has sought additional approvals from the U.S. FCC, which would further expand its capacity just as demand for satellite‑to‑phone services ramps up.

For Amazon, buying Globalstar would be a shortcut to scale. Project Kuiper and Amazon Leo already have billions of dollars committed, FCC approvals for thousands of satellites, and multiple launch contracts lined up, but the company is still well behind Starlink in both satellites launched and paying customers. Folding Globalstar into that effort could accelerate coverage, open up new rural and in‑flight connectivity plays, and even extend Amazon’s advertising and cloud reach into places that have traditionally been offline.

What this means for Apple users, at least in the short term, is “wait and see.” Apple’s deal with Globalstar includes long‑term capacity commitments and significant prepayments, so any buyer would almost certainly have to honor those or compensate Apple to renegotiate. Industry watchers say that’s likely why talks are described as complex and why there’s still a real chance the deal could fall apart before anything is finalized.

If it does go through, though, the satellite space (literally) gets even more crowded: SpaceX with Starlink, Amazon with an expanded Leo plus Globalstar, Apple deeply embedded via long‑term capacity and iPhone features, and regulators trying to juggle orbital congestion and spectrum fights. For users on the ground, the upside is obvious—more connectivity in more places, on more devices—but it also raises bigger questions about how much of that critical infrastructure ends up effectively controlled by just a handful of tech giants.