Amazon’s $11.6 Billion Globalstar Deal Amps Up Musk Rivalry (1)

Amazon.com Inc.’s $11.6 billion deal to buy Globalstar Inc. ramps up competition with Elon Musk’s Starlink in satellite communications, a market predicted to double to $200 billion in the coming years.

On Tuesday, Amazon announced plans to buy the satellite operator for a mix of stock and up to $90 a share and said that in 2028 it will launch a direct-to-device service, offering connectivity straight to people’s mobile devices as an alternative to traditional cell towers.

Through Globalstar, Amazon will gain radio frequency licenses that are key to the company advancing its satellite-to-mobile services. The e-commerce giant ...