Amazon Moves to Take Over Apple's 20% Stake in Satellite Firm Globalstar

At a glance

Amazon plans to buy Apple's 20% stake in satellite communications company Globalstar. The deal was first revealed in documents filed with the US Federal Communications Commission. Apple says it will remain a key partner rather than leave satellite services.

Key points

1. 1

   Amazon set up a new subsidiary to take over Globalstar shares for the deal.

2. 2

   The emergency SOS and satellite messaging features on iPhones are not expected to be affected.

3. 3

   Amazon wants to speed up development of C-3, a next-generation satellite group of 48 satellites.

4. 4

   Amazon has said it aims to offer satellite connections to phones from many carriers and manufacturers over time.

Why it matters

The company behind the satellite service that phones use when cell signal is lost is changing hands, which could affect iPhone users and the satellite communications market.