In the tech world, it's rare to see giants shaking hands behind the scenes unless something huge is on the horizon. Today, Amazon and Globalstar announced a definitive merger agreement, under which Amazon will acquire the popular satellite operator. And if you're wondering about the fate of Apple, which relies entirely on Globalstar for the connectivity features in its devices, don't worry; Apple and Amazon have settled matters with a separate deal that ensures the iPhone and Apple Watch remain at the top of the satellite connectivity pyramid.
A new partnership under the umbrella of “Amazon Leo”
Amazon didn't just acquire the company; it also signed a separate agreement with Apple to leverage its satellite network, known as "Leo," to support Apple's current and future features. This means that features like Emergency SOS, satellite messaging, the "Find My" app, and roadside assistance will reach a new level of reliability and power thanks to Amazon's massive infrastructure.
Greg Joswiak, Apple's senior vice president of worldwide marketing, expressed his optimism about the move, stating that Apple and Amazon have a long history of successful collaboration. He emphasized that this partnership with Amazon Leo ensures Apple users remain connected even in areas without traditional cell tower coverage, reflecting Apple's philosophy of prioritizing user safety, even if it requires alliances with competitors.
The future of connectivity: What is Apple planning?
The deal wasn't just about securing existing features; it was about paving the way for a long road of innovation. Amazon confirmed it will continue to support current iPhone and Apple Watch models and will even work with Apple to develop future services that run on the expanded "Leo" network. It seems Apple's ambitions don't stop at simple appeals for help.
According to reports, Apple is working on a package of revolutionary features that require radical upgrades to satellite infrastructure, including:
- Fully enable Apple Maps via satellite.
- The ability to send images in the messaging app via satellite.
- Improving communication in indoor environments.
- Providing satellite service via fifth-generation (5G) networks.
- Launching an application programming interface (API) for developers to enable third-party applications to use satellite connectivity.
Overcoming regulatory hurdles
The acquisition is expected to be completed in 2027, pending necessary regulatory approvals. Interestingly, Apple's 20% stake in Global Star was a sticking point in Amazon's negotiations, but shared interests in competing with companies like SpaceX and its Starlink service seem to have made the deal inevitable.
With this deal, Apple ensures its users aren't left out, while Amazon strengthens its position as a formidable competitor in the satellite communications market. Ultimately, the user is the biggest winner, benefiting from a global coverage network that makes the phrase "no coverage" a thing of the past.
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