Globalstar wins US approval for communications system with 48 operational satellites
Key Facts
Globalstar said its new C-3 mobile satellite communications system had received authorization from the Federal Communications Commission covering the United States, including direct-to-smartphone connectivity. In its statement announcing the approval, the company said the system would comprise 48 operational satellites in low Earth orbit, plus 6 in-orbit spares. The satellites will operate at an altitude of 1414 kilometers, according to the company's announced design for its new network. Chief Executive Paul Jacobs said the approval supports the delivery of "next-generation satellite services that combine increased capacity, improved performance and greater flexibility for users for years to come." The regulatory step comes as the company carries out a program that includes manufacturing the new constellation and expanding the ground stations supporting it.
The FCC's Space Bureau previously accepted Globalstar's application for the system for filing and released it for public comment on May 30, 2025. On manufacturing, MDA Space announced a contract in February 2025 worth about C$1.1 billion to build Globalstar's new constellation. The contract calls for the production of more than 50 digital satellites based on the MDA Aurora platform, according to the manufacturer. The contracted satellites are software-defined, according to the company's description of the platform being used to fulfill the order. The industrial investment thus includes manufacturing the satellites that will form the new constellation, alongside the regulatory process that began with acceptance of the application and its release for public comment.
On the ground, Globalstar completed the expansion of its station in Nemea, Greece, as part of work dedicated to supporting the C-3 system. The company said it had begun commissioning the station's new infrastructure following completion of the expansion. The work in Greece forms part of a broader program to upgrade the company's ground infrastructure worldwide. The program includes about 90 new tracking antennas across about 35 ground stations, according to Globalstar's statement on the Nemea expansion. The equipment spans 25 countries and territories, with the system's rollout encompassing work in orbit and at supporting ground sites.
The network work coincides with Amazon's agreement to acquire Globalstar, which Reuters valued at about $11.57 billion when it was announced in April. According to Globalstar's filing with the US Securities and Exchange Commission, the agreement allows shareholders to elect cash consideration of $90.00 per share. Alternatively, they can elect to receive 0.3210 Amazon shares for each Globalstar share, under the agreement and its amendments. The value of the stock consideration is capped at $90.00 per share, according to the same filing. In the joint acquisition statement, Amazon and Apple also announced an agreement to provide satellite services through Amazon Leo for supported iPhone models and Apple Watches.
On financial performance, Globalstar reported a decline in service revenue in the second quarter of 2026 compared with the same quarter a year earlier. The decline totaled $3.2 million, or 5%, according to the company's earnings statement. The performance came as the company continued its program to manufacture the new constellation and upgrade its ground infrastructure. Globalstar shares rose more than 10% in the trading session when the acquisition was announced in April, according to Reuters' coverage of the deal at the time. Amazon shares rose 3% in the same coverage as the agreement between the companies was announced.
In a separate replacement satellite program, Globalstar confirmed in an August 2026 announcement that all eight HIBLEO-4 satellites had been successfully launched on a SpaceX Falcon 9 rocket. It said the satellites require comprehensive testing and calibration before being integrated into the operational constellation and entering commercial service. The acquisition terms include milestones tied to bringing the replacement satellites into operation, alongside approvals under competition, foreign investment, satellite and telecommunications laws, according to the merger filing. For the C-3 satellites, Globalstar expects launches to begin next year, according to the US approval statement. Amazon and Globalstar expect to complete the merger in 2027, subject to the satisfaction or waiver of closing conditions, according to the merger document filed with the Securities and Exchange Commission.