Amazon has announced a significant move in its space race by merging with satellite operator Globalstar and striking an agreement with Apple to provide satellite service for iPhones and Apple Watches. The $11.6 billion deal values Globalstar, which already had a partnership with Apple for emergency messaging services on the iPhone 14 and later models, as well as the Apple Watch Ultra 3.

The merged network will expand Amazon’s Direct-to-Device (D2D) market, where satellites offer connectivity to mobile phones. Panos Panay, Amazon's senior vice president of devices and services, stated that this agreement makes Amazon the primary satellite service provider for iPhone and Apple Watch features, leveraging the expanded satellite network from the Amazon Leo system.

Globalstar’s existing service supports text emergency communications, friend and family messaging, roadside assistance, and location sharing on compatible Apple devices. Amazon has assured continuity with these services while promising further collaboration to enhance future capabilities using the expanded network.

This move comes years after SpaceX's Starlink offered a similar deal to Apple but was rejected. Now, Apple has chosen Amazon instead, signaling a shift in the tech giants' strategies and potentially creating a new standard for satellite connectivity in mobile devices.