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Amazon to Grab Apple’s 20% Piece of the Action as Its Globalstar Acquisition Moves Ahead

Apple will be giving up its 20% share of satellite service provider Globalstar as a part of Amazon’s $11 billion acquisition of the firm. Apple’s former shares, as well as the accompanying voting rights, will taken over by a new Amazon subsidiary.

As Mactrast reported on April 14, Amazon and Globalstar had agreed to a deal for the retail giant acquiring the satellite operator. Amazon will use the company’s  satellites, radio frequency spectrum, and operational expertise to expand its Amazon Leo satellite network to provide Direct-to-Device (D2D) services.

There was a tiny issue though, as Apple had paid $1.5 billion for a 20% share of Globalstar back in 2024, meaning they definitely had an interest in the acquisition. Apple’s investment in Globalstar consisted of up to $1.1 billion to finance the construction and launch of Globalstar’s satellite infrastructure. Apple had also spent $400 million to purchase a 20% passive equity interest in Globalstar. Apple currently has access to 85% of Globalstar’s satellite network bandwidth.

Luckily, Amazon also announced that they had entered an agreement with Apple that will see Amazon’s Leo network powering satellite services for Apple’s supported iPhone and Apple Watch models. This will allow users continued access to several satellite-powered features, such as Find My, Messages via satellite, Emergency SOS, Roadside Assistance via satellite, and more.

Amazon also said it will partner with Apple to develop additional satellite services that will run on the expanding Leo network. The services are expected to include 5G via satellite, sending photos in Messages while connected via Satellite, Apple Maps via satellite, satellite weather, a third-party developer satellite API, and other services.

As for Apple’s 20% chunk of Globalstar, in a May 26, 2026 filing with the US FCC, Amazon and Globalstar ask for approval of the transfer of licenses and authorizations between the two companies.

The filing, reports PCMag, shows that Amazon is creating a subsidiary called “Grapefruit Acquisition Sub II, LLC” to facilitate the merger.  The new subsidiary will take over Apple’s 20% equity and voting interests in Globalstar, Inc.. Grapefruit will manage Globalstar USA LLC, Globalstar Licensee LLC, and GUSA Licensee LLC.

The filing doesn’t specify what, if anything, Apple will receive for its 20% piece of the action. However, Apple will continue to have access to the Globalstar satellite network.

While Apple will continue to have access, it may soon find itself jockeying for space on the satellite network, as Amazon’s FCC filing also states that it will be working with other device manufacturers, as well as mobile carriers in the future.

Chris Hauk

Chris is a Senior Editor at Mactrast. He lives somewhere in the deep Southern part of America, and yes, he has to pump in both sunshine and the Internet.