ITU Rejection Threatens Spectrum Capacity for Amazon's $11.6 Billion Globalstar Acquisition

The denial places heavy pressure on Globalstar to fulfill rigid deployment deadlines at a moment when it serves as the backbone for Amazon’s global direct-to-device (D2D) ambitions. If Globalstar fails to satisfy French regulators, the resulting spectrum limitations could throttle the peak data capacity of Amazon's future network before it even launches. This creates a strategic opening for competitors like SpaceX, whose Starlink D2D services are already testing with terrestrial carriers. Digital strategists should track whether Globalstar can accelerate its satellite replacement builds with new contractors to avoid a valuation adjustment in the Amazon merger.

The ITU’s hard line on milestones coincides with Amazon’s broader pivot to formalize its space business. In November 2025, Amazon rebranded its Project Kuiper initiative as Amazon Leo, marking its transition from R&D to a commercial enterprise. Per Forbes (April 2026), the $11.6 billion acquisition of Globalstar is Amazon’s second-largest purchase to date, trailing only its 2017 acquisition of Whole Foods. Under the merger terms, Globalstar stockholders can elect to receive $90 per share in cash or Amazon stock, though the total consideration is subject to a $110 million downward adjustment if specific operational milestones are not met.

While Globalstar faces regulatory hurdles in Europe, it has secured recent victories in the U.S. market. Per reports from September 2025, the FCC granted Globalstar permission to operate up to 26 replacement satellites and extended its HIBLEO-4 authorization for another 15 years. However, the French-licensed HIBLEO-X and HIBLEO-4 fleets remain critical because they support Globalstar's highly publicized partnership with Apple. Per The Guardian (April 2026), Amazon and Apple signed a parallel agreement to ensure Amazon Leo continues powering emergency satellite features for iPhone and Apple Watch users through Globalstar's infrastructure.

Amazon is currently racing to meet its own internal deployment targets. Per The Street (July 2026), the Amazon Leo constellation recently passed 390 satellites in orbit, which the company claims is enough to support an initial commercial service launch later this year. To reach its final goal of 3,232 satellites by 2029, Amazon has secured nearly 100 rocket launches across ULA, SpaceX, and Arianespace. This aggressive scaling is intended to position Amazon as the primary challenger to Starlink, which already serves over 10 million customers globally.