Apple acquires 20% of its partner in satellite services for iPhone.

Apple has decided to acquire a 20 percent stake in Globalstar, its partner in satellite connectivity for the iPhone, representing an investment of $400 million. This acquisition is part of an expansion of the existing agreement between the two companies. In addition to the stake, Globalstar will receive an upfront payment of $1.1 billion from Apple, intended to enhance satellite infrastructure.

Apple uses Globalstar's satellites to enable emergency text messaging, iMessage reactions, and other features in areas where there is no cellular signal. The details of the agreement's expansion were revealed by Globalstar through a document filed with the SEC, which mentions the creation of a new satellite constellation, the expansion of ground infrastructure, and an increase in licensing for mobile satellite services worldwide.

The Emergency SOS feature was implemented in the iPhone 14 in 2022 and expanded with the arrival of iOS 18, allowing users outside of cellular coverage to send and receive text messages, emojis, and Tapbacks via iMessage and SMS in remote areas.

While Apple plans to charge for satellite connectivity services in the future, it has not yet set a date. Since the launch of the iPhone 14, the company has offered access to these features for free for two years with the purchase of the device. However, last year, iPhone 14 owners received an additional year of free service, which will now be extended until November 2025.