Apple is set to invest up to $1.1 billion in expanding satellite connectivity for iPhones through a partnership with Globalstar, a satellite communications provider. This funding aims to enhance services including a new mobile satellite services (MSS) network and an upgraded satellite constellation.
Globalstar has committed to dedicating 85% of its satellite network capacity to Apple, which will acquire a 20% stake in the company by purchasing 400,000 Class B shares. This move reflects Apple's ambition to broaden its satellite services, particularly the Emergency SOS feature that has already proven vital in remote areas and during emergencies.
With competitors like SpaceX and AST SpaceMobile also developing satellite networks, the race to provide reliable connectivity in cellular dead zones is intensifying. Apple’s recent announcement of expanded satellite connectivity for iMessage users further underscores this trend.
While Globalstar anticipates its annual revenue will more than double with the new services, details on the deployment of the satellite constellation remain unclear. The company has recently received regulatory approval to launch up to 17 replacement satellites, but the potential for a new low-Earth orbit constellation could reshape the landscape of satellite communications.