Amazon wins FCC nod to buy Globalstar, ignites satellite phone race with SpaceX
Article excerpt
Amazon has secured approval from U.S. authorities needed to acquire the satellite communications company Globalstar. By adding Globalstar's satellites and frequency asset to its existing Low Earth Orbit (LEO) Satellite Network, the company plans to enter the race to connect smartphones directly to satellites without ground base stations. The Federal Communications Commission (FCC) said on the 27th that it approved Amazon's application for its Low Earth orbit satellite business, Amazon Leo, to secure 25 MHz of spectrum for Globalstar's mobile satellite service. With this approval, Amazon now has a path to leverage 24 satellites held by Globalstar and related spectrum asset. The FCC determined that the transaction could improve connectivity in areas beyond the reach of terrestrial networks and strengthen emergency communications, while also contributing to the expansion of industrial and corporations data services. It also concluded there is no substantial risk of harming the public interest. The core of this transaction is that Amazon can go beyond expanding its satellite network to secure competitiveness in the "direct-to-device (D2D)" market, which directly consolidation smartphones and satellites. D2D is a technology that allows ordinary smartphones to communicate directly with satellites without a separate satellite terminal, making it possible to secure connectivity in...
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Amazon previously agreed in April to acquire Globalstar for $11.5 billion.
