The US Federal Communications Commission has approved Amazon Leo’s $11.5 billion (£8.6bn) acquisition of Globalstar, supporting Amazon Leo’s efforts to launch a direct-to-device business in competition with SpaceX’s Starlink.

Amazon Leo is to acquire Globalstar’s existing satellite operations, infrastructure and assets, including its satellite spectrum licences.

Amazon Leo has launched nearly 400 satellites and aims to have thousands in orbit by 2029, as it prepares to launch its commercial satellite services by the end of this year.

Amazon Leo intends to launch a service in 2028 supporting voice, text and data services delivered direct to smartphones via satellite.

The FCC is reviewing Amazon Leo’s application to launch more than 5,105 satellites for the D2D service.

Satellite services

Apple invested about $1.5bn in Globalstar in 2024 to fund the expansion of its communications services for iPhones and other Apple devices, which gave it a 20 percent equity stake in the company.

Services for Apple devices, such as Emergency SOS and Find My services for iPhones and Apple Watches, made up 63 percent of Globalstar’s revenue last year.

Amazon plans to acquire Apple’s stake in Globalstar, the FCC said.