Amazon Launches Satellite Internet Service
Amazon is set to launch its satellite internet service, Amazon Leo, commercially in the third quarter of 2026. The company has already deployed over 250 satellites and has secured major customers, including AT&T, Delta Air Lines, JetBlue, and NASA. Notably, a pending acquisition of Globalstar will enable Leo to provide satellite services directly to Apple devices, such as iPhones and Apple Watches.
During its Q1 fiscal 2026 earnings call, CEO Andy Jassy emphasized the potential of Amazon Leo, likening it to the success of Amazon Web Services (AWS), which currently generates $150 billion in annual revenue and accounts for nearly 60% of Amazon’s operating income. Jassy believes that Leo could evolve into a multi-billion-dollar revenue stream, as the global satellite internet market is projected to grow at a 17% compound annual growth rate, reaching $33.4 billion by 2034.
Despite competition from SpaceX’s Starlink, which serves 10 million customers, Jassy asserted that Amazon Leo will provide superior performance, claiming advantages in downlink and uplink speeds, as well as cost benefits. He noted that billions of people still lack broadband access, presenting a significant opportunity for growth.
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