Apple and Globalstar Expand Partnership with $1.5 Billion Deal; Globalstar Stock Jumps 58% Pre-Market

Nov 1, 2024, 11:27 AM

Apple Inc. (AAPL) and Globalstar Inc. (GSAT) have expanded their partnership with a $1.5 billion satellite services deal. As part of the agreement, Apple will prepay up to $1.1 billion for infrastructure to support a new satellite network build-out. Additionally, Apple will acquire a 20% stake in Globalstar’s satellite entity. Globalstar disclosed that its total annual revenue is expected to more than double in the first year following the launch of the expanded services. The announcement, detailed in an 8-K filing, has led to a significant increase in Globalstar's stock, which jumped 58% in heavy pre-market trading.