Watchdog Praises FCC Approval of Amazon Leo’s Acquisition of Globalstar

FOR IMMEDIATE RELEASE

Contact: Kara Zupkus (224) 456-0257

WASHINGTON, D.C. – Today, the Taxpayers Protection Alliance (TPA) praised the Federal Communications Commission’s (FCC) decision to approve Amazon Leo’s application to acquire approximately 25 megahertz of Globalstar’s internationally harmonized mobile-satellite service spectrum. Amazon will reportedly use Globalstar’s mobile satellite resources to enhance existing services. Expected benefits include bolstered connectivity beyond the reach of terrestrial wireless networks. According to the FCC, “the transaction is likely to benefit the public by enhancing data coverage in unserved or underserved areas, strengthening emergency communications capabilities, fostering growth in industrial and enterprise data services, and promoting more intensive use of mobile satellite service spectrum.”

David Williams, President of TPA, offered the following comment:

“Amazon’s now-approved $11.5 billion agreement to acquire satellite firm Globalstar is a critical step toward bolstering the satellite broadband market and enabling increased competition. That competition is great news and a win-win scenario for taxpayers and consumers who stand to benefit from lower prices, better service, and faster innovation. Millions of Americans remain unserved or underserved by slow or nonexistent internet, and this approval will help close the digital divide at affordable prices. The FCC deserves to be applauded for following the evidence and approving the acquisition. This increased broadband capacity and availability mean less reason for tax dollars to be spent on broadband.

“Globalstar’s satellite network zeroes in on direct-to-device, or D2D, connections, which allows it to work reliably for low-data connections directly to mobile devices. D2D connections are critical for powering emergency services and enabling internet access in areas of limited cellular coverage because they remove the need for devices to connect to ground-based towers. Because of this wise decision by the FCC, millions of consumers can benefit from this innovative approach.

“The FCC must continue to pave the way for more innovation and lower prices by allowing private providers to expand internet access across the country. The agency’s decision to approve Amazon Leo’s application is a large leap in the right direction.”

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The Taxpayers Protection Alliance (TPA) is a non-profit, non-partisan organization dedicated to educating the public through the research, analysis, and dissemination of information on the government’s impact on the economy.