Globalstar (NASDAQ:GSAT) shares are surging 10% in early Thursday trading after the Financial Times reported that Amazon (NASDAQ:AMZN | AMZN Price Prediction) is in advanced talks to acquire the satellite telecommunications company. The move extends GSAT stock’s remarkable run as it has now delivered a 231% gain over the past year.
The report landed on the last trading session before Good Friday, when markets will be closed. Sherwood News confirmed the Financial Times‘ reporting, and the story quickly spread across financial media. For investors who have followed Globalstar’s quiet transformation into a spectrum and satellite infrastructure play, today’s move feels less like a surprise and more like a confirmation of what the bulls have argued all along.
Today’s acquisition report reframes Globalstar as the center of a high-stakes race between two of the most powerful players in the satellite industry, with global connectivity, defense applications, and the future of low-Earth-orbit infrastructure all hanging in the balance.
Amazon’s Kuiper Problem, and Globalstar’s Solution
Amazon has been building its own satellite internet service, Project Kuiper, but the venture has faced real headwinds. Amazon sought an extension on its deployment timeline due to launch shortages, creating urgency around finding a faster path to scale. Acquiring Globalstar would hand Amazon immediate satellite infrastructure, operational capability, and something far harder to replicate: globally harmonized spectrum.
Globalstar’s Band 53/n53 spectrum assets are considered one of its most strategically valuable holdings. CEO Paul Jacobs observed in Q3 2025 that “Recent sales of assets with less global coverage indicated values that reflect very well on Globalstar’s assets.” That spectrum, combined with Globalstar’s existing LEO constellation and ground infrastructure, would give Amazon a meaningful head start in competing with SpaceX’s Starlink.
Amazon CEO Andy Jassy has been direct about the company’s ambitions in this space. In his most recent earnings commentary, he cited “low earth orbit satellites” as one of the “seminal opportunities” driving the company’s planned $200 billion in capital expenditures across Amazon in 2026. Amazon also reported $86.81 billion in cash and equivalents as of Q4 2025, giving it substantial firepower for a deal.
The Apple Wrinkle and the SpaceX Shadow
Any Amazon acquisition of Globalstar comes with a significant complication: Apple (NASDAQ:AAPL). Specifically, Apple holds a 20% stake in Globalstar and has allocated 85% of the network’s capacity for its Emergency SOS via Satellite feature on iPhones and Apple Watches. Apple Insider noted that any acquisition would raise critical questions about Apple’s ongoing involvement and the future of the free Emergency SOS service for Apple device users.
The bulls argue that Amazon could maintain or even expand Apple’s partnership, pointing to Amazon’s track record of building consumer ecosystem relationships. Meanwhile, the bears counter that Apple may hold contractual protections that complicate or block any deal entirely. Both outcomes remain possible, and that uncertainty is part of why the stock is surging on a report rather than a signed agreement.
Then there’s SpaceX. Prior to today’s Amazon report, Globalstar had already surged on separate SpaceX acquisition rumors, with GSAT stock rising approximately 6.90% on reports of a potential SpaceX deal valued at $10 billion.
SpaceX and Globalstar already have a working relationship: Globalstar signed a launch services agreement with SpaceX for Falcon 9 missions to deploy replacement satellites. The market has clearly noticed the irony of SpaceX potentially losing Globalstar to Amazon, its biggest rival in satellite internet.
Stand-alone Value Supports the Story
Even without an acquisition, Globalstar’s fundamentals have been improving. The company posted record 2025 full-year revenue of $272.99 million and guided for $280 million to $305 million in 2026. Moreover, Globalstar’s Wholesale Capacity Services segment, the company’s largest revenue driver, generated $46.29 million in Q1 2026, up 28% year over year. Plus, Globalstar’s cash on the balance sheet stood at $447.47 million as of Q1 2026.
That said, GSAT stock had already priced in considerable optimism before today. The analyst consensus sits at a Hold rating with a price target of $69, which was roughly in line with yesterday’s close of $68.53. Today’s 10% move pushes Globalstar shares above that target, meaning the market is now pricing in an acquisition premium on an unconfirmed deal.
Traders should watch for whether the gains in GSAT stock hold into the close, particularly given the long holiday weekend ahead. Globalstar’s next earnings report is scheduled for May 7, and this could be the next major fundamental catalyst if no deal is confirmed before then.
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