Apple buys 20% stake in iPhone satellite service partner Globalstar

What just happened? Apple has agreed to purchase a 20 percent stake – totaling 400,000 class B shares – in Globalstar, its satellite messaging service provider for $400 million. The iPhone maker has also agreed to make cash pre-payments that will help Globalstar expand its footprint both on the ground and in the sky.

Apple partnered with Globalstar in 2022 to provide emergency messaging capabilities to iPhone 14 users when they are outside of traditional cellular or Wi-Fi range. The feature arrived as a freebie for the first two years, although Apple extended coverage by one additional year for iPhone 14 owners in late 2023.

With the launch of iOS 18, the feature was expanded beyond emergency use. Now, users can send and receive texts, emojis, and tapbacks over SMS and iMessage via satellite. Apple notes that iMessages sent via satellite are end-to-end encrypted for added security.

In a recent filing ...