FCC approves Amazon's $11.5 billion Globalstar acquisition

The Federal Communications Commission approved Amazon's $11.5 billion acquisition of Globalstar, adding two dozen satellites and about 25 MHz of internationally harmonized mobile-satellite spectrum to Amazon Leo's direct-to-device plans.

Amazon announced the deal in April. The FCC said the acquisition is likely to benefit the public by enhancing data coverage in unserved or underserved areas and strengthening emergency communications.

For investors underwriting satellite and spectrum assets, the order moves a scarce, internationally harmonized band into an operator that has already launched nearly 400 satellites. Amazon has filed to deploy up to 5,105 direct-to-device spacecraft and says it plans thousands of satellites in low Earth orbit by 2029.

Globalstar brings connectivity services in more than 120 countries and is developing a third-generation fleet to support Apple. The deal includes Globalstar's two dozen second-generation satellites and the C-3 market access grant the FCC's Space Bureau issued last week. The C-3 System is a global network of 48 satellites in 12 orbital planes, operating at 52 degrees inclination and 1,414 kilometers.

The FCC said Amazon Leo may use the C-3 grant "to build and launch this newly authorized system" after the transaction closes.