Federal Regulators Approve Amazon’s $11.5 Billion Deal for Satellite-to-Phone Spectrum

A satellite-to-phone network needs more than spacecraft, launch contracts and ground stations. It also needs authorized radio frequencies linking devices to orbit. On October 27, 2026, the Federal Communications Commission’s Space Bureau approved Amazon’s $11.5 billion acquisition of Globalstar, transferring 25 megahertz of internationally harmonized mobile-satellite spectrum that Amazon otherwise lacked for its proposed global direct-to-device system.

The approval removes a fundamental spectrum constraint rather than completing the communications network itself. Amazon still must combine the transferred frequencies and Globalstar infrastructure with Amazon Leo’s satellite-manufacturing capabilities, launch arrangements and ground systems. The transaction gives those engineering assets a regulated communications channel on which a direct-to-device service can be developed.

Why 25 megahertz matters

Radio spectrum is a finite, managed system resource. Satellites and phones cannot transmit wherever they choose because other satellite, cellular and terrestrial services may already occupy or share nearby frequencies. An operator needs appropriate authorization, compatible equipment and interference controls before it can convert orbital coverage into usable communications capacity.

The Globalstar acquisition addresses that requirement with 25 megahertz assigned to mobile-satellite service and harmonized internationally. Harmonization is important for a network intended to operate across borders: common frequency arrangements can reduce device complexity and make coordination more practical, although individual countries retain responsibility for licensing satellite systems within their jurisdictions.

The International Telecommunication Union’s coordination framework is designed to let satellite and terrestrial systems coexist without harmful interference. As constellations multiply, operators and national regulators must coordinate frequency assignments, deployment status and operating parameters. Ownership of spectrum therefore provides an enabling asset, but not freedom from international coordination or national approvals.

Bandwidth also influences how much traffic a network can support. Twenty-five megahertz does not by itself determine final speed, geographic availability or the number of simultaneous users; those outcomes also depend on satellite count, antenna performance, link design, ground infrastructure, device compatibility and how efficiently the spectrum is reused. It does, however, give Amazon a defined frequency resource around which those elements can be engineered.

Coverage gains come with system boundaries

Amazon plans to use Globalstar’s network and spectrum to expand capacity and offer additional services beyond conventional cellular coverage. The FCC said the combination could help close coverage gaps, strengthen emergency communications and improve data services for businesses and industrial users.

Those benefits are most relevant where terrestrial towers are unavailable, impractical or disrupted. Remote communities, travelers and emergency communicators could gain another communications path without requiring continuous tower coverage everywhere. Satellite links can complement terrestrial networks across wide areas, but the approval alone does not establish service dates, handset support, performance levels or universal availability.

The access tradeoff is between geographic reach and the finite resources shared across a satellite system. A satellite may cover territory where building towers is difficult, but its capacity must serve users spread across that footprint. Terrestrial networks can concentrate infrastructure in high-demand areas; satellite systems are especially valuable where broad reach matters more than dense local capacity. Amazon’s acquired spectrum strengthens the space-based side of that balance without replacing cellular networks.

A new competitive configuration

The FCC expects the transaction to produce greater competition, coverage and capacity. Its approval cited submissions arguing that the combined operation could become a stronger competitor to SpaceX and T-Mobile’s satellite service and to AST SpaceMobile’s partnership with AT&T. AST SpaceMobile also has relationships with Verizon and FirstNet and authorization for as many as 248 satellites.

Competition will therefore involve integrated systems rather than satellite numbers alone. Each provider must align spectrum rights, spacecraft, launches, ground facilities, mobile-network relationships and compatible devices. Amazon enters that contest with substantial satellite-building and infrastructure resources, while Globalstar contributes an established network and the frequency rights that Amazon’s proposed direct-to-device system was missing.

The regulatory environment is also evolving as the FCC considers broader pathways for satellite communications using terrestrial or unlicensed frequencies. Those approaches could make more spectrum available, but they raise coexistence questions involving cellular, Wi-Fi, Bluetooth and industrial devices. Acquiring internationally harmonized mobile-satellite spectrum gives Amazon a more defined starting point while those wider sharing rules remain under development.

The acquisition’s immediate consequence is thus precise: Amazon can move forward with a spectrum-backed satellite-to-phone architecture instead of possessing launch and spacecraft capabilities without the required mobile-satellite frequencies. Whether that architecture produces wider coverage and stronger emergency connectivity will depend on the integration work that follows the $11.5 billion approval.

By Thomas Caldwell — AMI’s senior editor for mechanical and mobility engineering, covering vehicle electronics, systems integration, electrification, chassis systems, propulsion, and safety policy.