Amazon in Talks to Acquire Globalstar, Shares Surge 15%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 02 2026
0mins
Should l Buy GSAT?
Source: CNBC
- Stock Surge: Globalstar's shares jumped over 15% in after-hours trading, reflecting market optimism regarding Amazon's acquisition talks, indicating investor confidence in future growth potential.
- Complex Negotiations: According to the Financial Times, negotiations between Amazon and Globalstar are ongoing, with complexities arising from Apple's 20% stake investment in Globalstar in 2024, which may affect the deal structure.
- Amazon's Satellite Ambitions: Since April of last year, Amazon has launched approximately 200 low Earth orbit satellites and aims to build a constellation of around 7,700 satellites to support its upcoming internet service, despite facing delays in meeting launch milestones.
- Intensifying Market Competition: Amazon's acquisition plans aim to bolster its competitiveness against SpaceX's Starlink, which already has over 10,000 satellites in orbit and 9 million users, showcasing Amazon's ambitions in the satellite internet market.
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Analyst Views on GSAT
Wall Street analysts forecast GSAT stock price to fall
5 Analyst Rating
3 Buy
2 Hold
0 Sell
Moderate Buy
Current: 74.910
Low
60.00
Averages
67.00
High
75.00
Current: 74.910
Low
60.00
Averages
67.00
High
75.00
About GSAT
Globalstar, Inc. is a global telecommunications provider. The Company provides mobile satellite services, including voice and data communications services to retail, business and governmental customers, as well as wholesale satellite capacity services. It also offers these services over its network of in-orbit satellites and ground stations. Its low earth orbit (LEO) satellite constellation and licensed Band 53/n53 spectrum, it delivers satellite and terrestrial connectivity solutions. Its comprehensive connectivity ecosystem includes a software-defined, purpose-built private wireless network platform, coupled with Globalstar Band 53 in XCOM RAN and trusted GPS messengers Saved by SPOT for safety and personal communication for business and enterprise applications. The Company serves business, enterprise, and consumer markets across the globe. It supports applications that track and protect assets, enable automation, enhance operational efficiency, and safeguard lives.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Amazon Considers $8.8 Billion Acquisition of Globalstar
- Acquisition Talks: Amazon is in discussions to acquire Globalstar for $8.8 billion, which would further expand its presence in the low-earth orbit satellite market, although Globalstar only generated $273 million in revenue in 2025, indicating its lack of profitability.
- Market Competition: Amazon's LEO satellite business has deployed 180 satellites and plans to launch over 3,200, and while it still lags behind SpaceX's Starlink, acquiring Globalstar could enhance its competitive position in this emerging market.
- Investment Pressure: Amazon plans to invest up to $200 billion in cloud and AI infrastructure this year, and while acquiring Globalstar could provide new revenue streams for its core business, investors may be skeptical about this unprofitable company, especially given Amazon's 8% stock decline year-to-date.
- Stock Price Impact: Although the acquisition may make strategic sense, the high valuation of Globalstar at 32 times its trailing sales is likely to negatively impact Amazon's stock rather than drive it higher.
See More
Amazon Considers Acquisition of Globalstar Satellite Maker
- Acquisition Impact: Amazon is reportedly considering an $8.8 billion acquisition of satellite maker Globalstar, which could pressure Amazon's stock due to a valuation of 32 times its trailing sales, especially since Globalstar generated only $273 million in revenue in 2025.
- Market Competition Context: Amazon's LEO satellite business has deployed 180 satellites and aims to launch over 3,200 to compete with SpaceX's Starlink, although acquiring Globalstar won't significantly narrow the gap with SpaceX.
- Investment and Risks: Amazon plans to invest up to $200 billion in cloud and AI infrastructure this year, yet its stock has declined 8% year-to-date, primarily due to attacks on its data centers in the Middle East and rising oil prices.
- Strategic Significance: Acquiring Globalstar could provide a new revenue stream for Amazon's LEO satellite business and support its AWS cloud platform's expansion into edge networks and IoT devices, although investor enthusiasm for this unprofitable company remains low.
See More
Amazon's Potential Acquisition of Globalstar Could Impact Apple's Strategy
- Acquisition Impact: If Amazon proceeds with acquiring satellite provider Globalstar, it could strategically affect Apple's emergency communication features, as Apple owns about 20% of the company with an investment of $400 million and $1.1 billion in infrastructure support.
- Stock Price Surge: Globalstar's stock price surged significantly following news of Amazon's interest in a partnership to enhance its satellite broadband service, which could impact Apple's competitive position in satellite services, particularly against SpaceX.
- Emergency SOS Dependency: The Emergency SOS feature on newer iPhone and Apple Watch models relies on Globalstar's satellite network, allowing users to call emergency services without a cell signal, highlighting its critical role in Apple's ecosystem.
- Future Collaboration Outlook: Analysts suggest that any acquisition would necessitate discussions about satellite capacity, given Apple's heavy reliance on Globalstar's infrastructure, potentially altering the dynamics of Amazon and Apple's collaboration and competition, with investors closely monitoring the deal's implications for Apple's strategy.
See More
Space Stocks Surge Amid Acquisition Rumors and IPO Anticipation
- Acquisition Rumors Boost Stocks: Multiple space companies saw stock price surges due to reports of Amazon's acquisition talks with Globalstar, whose shares rose 13.43% to $9.20, indicating strong market demand for satellite internet services and investor optimism.
- Strong Market Performance: According to S&P Global Market Intelligence, Intuitive Machines' stock jumped 37%, while Iridium Communications and Planet Labs rose 18% and 16% respectively, reflecting investor confidence in the future growth potential of the space industry.
- SpaceX IPO Anticipation: SpaceX is reportedly seeking a staggering $1.75 trillion market valuation and could go public as early as June, which would further attract market attention to the space sector and potentially drive up related companies' stock prices.
- NASA Contract Fuels Growth: Intuitive Machines secured a $180 million contract from NASA to deliver payloads to the Moon's surface, enhancing its market position and providing strong support for its leadership in space infrastructure development.
See More
SpaceX Could Be the Blockbuster IPO of 2026
- Market Surge: Multiple space-focused stocks surged last week due to acquisition rumors and anticipation of IPOs, indicating strong investor interest and enthusiasm in the burgeoning space industry.
- Amazon Acquisition Plans: Amazon is reportedly in talks to acquire Globalstar to accelerate its satellite internet service rollout, which could significantly enhance its competitive position in the communications market.
- SpaceX IPO Potential: SpaceX has quietly filed for an IPO, with a staggering potential valuation of $1.75 trillion, which is expected to draw further investor attention to the massive growth potential of the space market, with the IPO possibly occurring in June 2026.
- NASA Contract Support: Intuitive Machines secured a $180 million contract from NASA to deliver payloads to the Moon's surface, which not only boosts the company's market position but also lays the groundwork for its future space exploration projects.
See More
Globalstar Stock Surpasses Analyst Target Price
- Price Target Breakthrough: Globalstar Inc (GSAT) shares have reached $77.73, surpassing the average analyst 12-month target price of $69.75, indicating increased market confidence and potentially attracting more investor interest.
- Diverse Analyst Reactions: Among analysts covered by Zacks, target prices range from $63.00 to $75.00, with a standard deviation of $4.991, highlighting differing opinions on GSAT's future performance, necessitating careful risk assessment by investors.
- Investor Decision Signal: The stock's rise above the target price provides a strong signal for investors to reassess the company, prompting considerations of whether to hold or reduce their positions, which could impact market liquidity and stock price volatility.
- Market Sentiment Analysis: The average analyst rating ranges from 1 to 5, reflecting a diverse market perspective on GSAT, urging investors to pay attention to the latest research reports from analysts to make more informed investment decisions.
See More
Amazon Considers $8.8 Billion Acquisition of Globalstar
- Acquisition Talks: Amazon is in discussions to acquire Globalstar for $8.8 billion, which would further expand its presence in the low-earth orbit satellite market, although Globalstar only generated $273 million in revenue in 2025, indicating its lack of profitability.
- Market Competition: Amazon's LEO satellite business has deployed 180 satellites and plans to launch over 3,200, and while it still lags behind SpaceX's Starlink, acquiring Globalstar could enhance its competitive position in this emerging market.
- Investment Pressure: Amazon plans to invest up to $200 billion in cloud and AI infrastructure this year, and while acquiring Globalstar could provide new revenue streams for its core business, investors may be skeptical about this unprofitable company, especially given Amazon's 8% stock decline year-to-date.
- Stock Price Impact: Although the acquisition may make strategic sense, the high valuation of Globalstar at 32 times its trailing sales is likely to negatively impact Amazon's stock rather than drive it higher.
See More
Amazon Considers Acquisition of Globalstar Satellite Maker
- Acquisition Impact: Amazon is reportedly considering an $8.8 billion acquisition of satellite maker Globalstar, which could pressure Amazon's stock due to a valuation of 32 times its trailing sales, especially since Globalstar generated only $273 million in revenue in 2025.
- Market Competition Context: Amazon's LEO satellite business has deployed 180 satellites and aims to launch over 3,200 to compete with SpaceX's Starlink, although acquiring Globalstar won't significantly narrow the gap with SpaceX.
- Investment and Risks: Amazon plans to invest up to $200 billion in cloud and AI infrastructure this year, yet its stock has declined 8% year-to-date, primarily due to attacks on its data centers in the Middle East and rising oil prices.
- Strategic Significance: Acquiring Globalstar could provide a new revenue stream for Amazon's LEO satellite business and support its AWS cloud platform's expansion into edge networks and IoT devices, although investor enthusiasm for this unprofitable company remains low.
See More
Amazon's Potential Acquisition of Globalstar Could Impact Apple's Strategy
- Acquisition Impact: If Amazon proceeds with acquiring satellite provider Globalstar, it could strategically affect Apple's emergency communication features, as Apple owns about 20% of the company with an investment of $400 million and $1.1 billion in infrastructure support.
- Stock Price Surge: Globalstar's stock price surged significantly following news of Amazon's interest in a partnership to enhance its satellite broadband service, which could impact Apple's competitive position in satellite services, particularly against SpaceX.
- Emergency SOS Dependency: The Emergency SOS feature on newer iPhone and Apple Watch models relies on Globalstar's satellite network, allowing users to call emergency services without a cell signal, highlighting its critical role in Apple's ecosystem.
- Future Collaboration Outlook: Analysts suggest that any acquisition would necessitate discussions about satellite capacity, given Apple's heavy reliance on Globalstar's infrastructure, potentially altering the dynamics of Amazon and Apple's collaboration and competition, with investors closely monitoring the deal's implications for Apple's strategy.
See More
Space Stocks Surge Amid Acquisition Rumors and IPO Anticipation
- Acquisition Rumors Boost Stocks: Multiple space companies saw stock price surges due to reports of Amazon's acquisition talks with Globalstar, whose shares rose 13.43% to $9.20, indicating strong market demand for satellite internet services and investor optimism.
- Strong Market Performance: According to S&P Global Market Intelligence, Intuitive Machines' stock jumped 37%, while Iridium Communications and Planet Labs rose 18% and 16% respectively, reflecting investor confidence in the future growth potential of the space industry.
- SpaceX IPO Anticipation: SpaceX is reportedly seeking a staggering $1.75 trillion market valuation and could go public as early as June, which would further attract market attention to the space sector and potentially drive up related companies' stock prices.
- NASA Contract Fuels Growth: Intuitive Machines secured a $180 million contract from NASA to deliver payloads to the Moon's surface, enhancing its market position and providing strong support for its leadership in space infrastructure development.
See More
SpaceX Could Be the Blockbuster IPO of 2026
- Market Surge: Multiple space-focused stocks surged last week due to acquisition rumors and anticipation of IPOs, indicating strong investor interest and enthusiasm in the burgeoning space industry.
- Amazon Acquisition Plans: Amazon is reportedly in talks to acquire Globalstar to accelerate its satellite internet service rollout, which could significantly enhance its competitive position in the communications market.
- SpaceX IPO Potential: SpaceX has quietly filed for an IPO, with a staggering potential valuation of $1.75 trillion, which is expected to draw further investor attention to the massive growth potential of the space market, with the IPO possibly occurring in June 2026.
- NASA Contract Support: Intuitive Machines secured a $180 million contract from NASA to deliver payloads to the Moon's surface, which not only boosts the company's market position but also lays the groundwork for its future space exploration projects.
See More
Globalstar Stock Surpasses Analyst Target Price
- Price Target Breakthrough: Globalstar Inc (GSAT) shares have reached $77.73, surpassing the average analyst 12-month target price of $69.75, indicating increased market confidence and potentially attracting more investor interest.
- Diverse Analyst Reactions: Among analysts covered by Zacks, target prices range from $63.00 to $75.00, with a standard deviation of $4.991, highlighting differing opinions on GSAT's future performance, necessitating careful risk assessment by investors.
- Investor Decision Signal: The stock's rise above the target price provides a strong signal for investors to reassess the company, prompting considerations of whether to hold or reduce their positions, which could impact market liquidity and stock price volatility.
- Market Sentiment Analysis: The average analyst rating ranges from 1 to 5, reflecting a diverse market perspective on GSAT, urging investors to pay attention to the latest research reports from analysts to make more informed investment decisions.
See More
