Globalstar Inc. Faces Strategic Crossroads Amid Satellite Connectivity Shake‑Up

The satellite communications landscape has entered a pivotal moment, as Globalstar Inc. (NASDAQ: GSAT) navigates a confluence of market speculation, technological upgrades, and a potential shift in partnership dynamics with Apple. The company, whose shares closed at $44.06 on 22 October 2025, has recently seen its price oscillate between a 52‑week low of $15.45 and a high of $47.44. With a market capitalization of roughly $5.3 billion and a price‑earnings ratio of -105.84, Globalstar remains a high‑risk, high‑reward play in the diversified telecommunications sector.

Rising Stock After IoT Module Launch

Earlier this month, Globalstar announced the commercial release of its RM200M two‑way satellite IoT module—a low‑cost, low‑power solution designed to provide resilient connectivity for critical assets worldwide. The announcement, reported by IoT Business News and Investing.com, was met with a surge in share price, reflecting investor optimism that the new module will broaden the company’s revenue base and reinforce its position in the growing Internet‑of‑Things (IoT) market.

The RM200M, now globally certified, complements Globalstar’s existing portfolio of satellite IoT devices, positioning the firm to capture demand from industries such as logistics, agriculture, and public safety. By offering a scalable solution, Globalstar aims to tap into markets that require secure, low‑latency connectivity in remote or underserved regions.

Infrastructure Upgrade and Ground‑Station Deployment

On 22 October, Globalstar also unveiled a significant infrastructure upgrade, highlighted by a Finviz feature titled “Globalstar’s Infrastructure Upgrade: Can It Deliver Long‑Term Value?” The company’s strategy includes deploying additional ground stations, with two new sites in Alaska becoming operational as reported by DataCenterDynamics. These installations will enhance network coverage and reduce latency, thereby improving service reliability for both commercial and governmental customers.

The Alaska deployment is part of a broader effort to solidify Globalstar’s presence in North America, where the firm already serves business, government, and individual customers in remote areas. By expanding ground‑station capacity, Globalstar intends to support the growing demand for satellite‑based voice and data services.

Apple’s Satellite Feature Controversy

The most disruptive development for Globalstar stems from Apple’s evolving satellite strategy. Historically, Apple’s iPhone 12 and later models relied on Globalstar’s network to enable emergency satellite messaging. However, Forbes, TipRanks, and AppleInsider reports from 23 October suggest that Apple may be reconsidering this partnership in favor of Elon Musk’s Starlink network.

The potential shift is driven by several factors:

  1. Spectrum Compatibility – Starlink satellites are being engineered to use the same radio spectrum currently employed by Apple’s satellite features, potentially offering Apple a more integrated solution.
  2. Strategic Autonomy – By aligning with Starlink, Apple could reduce its dependency on a single satellite operator and gain greater control over its satellite communications infrastructure.
  3. Market Positioning – A partnership with Starlink could bolster Apple’s position in the high‑profile “satellite‑ready” smartphone segment, appealing to consumers in remote or disaster‑prone areas.

Apple’s possible pivot has ignited speculation that Globalstar may face a significant loss of revenue, prompting analysts to question the company’s long‑term viability in the satellite sector.

Rumored $10 B Sale and Market Reactions

Amidst these uncertainties, Investing.com reported on 23 October that Globalstar’s stock had risen on rumors of a potential $10 billion sale. The speculation suggests that Globalstar might be attractive to larger satellite operators or technology conglomerates looking to consolidate the fragmented market. While no formal offer has been confirmed, the market’s reaction indicates that investors are weighing the company’s strategic options in light of Apple’s possible departure.

Industry Outlook and Competitive Landscape

Zacks’ industry analysis on 23 October underscored the resilience of satellite operators such as EchoStar, Globalstar, and Iridium Communications, noting that “satellite demand surges, defense budgets rise, and space‑based connectivity expands worldwide.” The commentary highlights that while Globalstar is navigating challenges, the broader sector remains robust, driven by defense contracts, maritime and aviation connectivity, and emerging IoT applications.

Conclusion

Globalstar Inc. stands at a critical juncture. The company’s recent IoT module launch and infrastructure expansion demonstrate a commitment to innovation and market penetration. However, the potential loss of Apple’s satellite partnership and the specter of a large acquisition raise questions about its strategic trajectory. As the satellite communications market continues to evolve—propelled by defense spending, IoT integration, and private‑sector competition—Globalstar’s ability to adapt will determine whether it can maintain its position as a key player in delivering voice and data services to remote regions worldwide.