Apple invests over $1 billion to enhance satellite messaging capabilities
Apple has promised another $1.1 billion to GlobalStar, its existing satellite provider, to improve iPhone messaging services. The investment will be used to expand ground bases and add more satellites. The tech giant first launched Emergency SOS via Satellite with the iPhone 14 two years ago, and has since introduced features like Roadside Assistance via satellite and expanded non-emergency messaging services.
GlobalStar announces expansion of Apple deal
GlobalStar has revealed that its deal with Apple has expanded, and it consists of two key elements. The first part involves an upfront payment of up to $1.1 billion from Apple, specifically for GlobalStar to set up a new satellite constellation. Meanwhile, the second part indicates that Apple has now taken a 20% stake in GlobalStar, an equity deal worth around $400 million, according to Street Insider.
Apple's investment history in GlobalStar
Apple's partnership with GlobalStar goes back to 2022 when it invested $450 million in the company's US infrastructure and aided its expansion through loans. The exact cost of the satellite features for Apple remains undisclosed. However, it is known that these services continue to be free for iPhone users, despite initial indications that they would only be free for two years post-purchase of an iPhone.
Apple extends free satellite services for iPhone users
In November 2023, Apple announced another year of free satellite services for all iPhone 14 users. The offer was also extended to iPhone 15 users and is likely to be available for future iPhone 16 buyers. Despite the initial statement that the service would only be free for a certain period, Apple has yet to announce any pricing details two years later.
