Apple agreed to pump at least $1.1 billion into satellite service provider Globalstar, expanding an existing agreement and significantly upping its commitment to provide non-terrestrial connectivity to iPhones.

Globalstar stated Apple is also due to purchase $400 million-worth of class B shares in the subsidiary running the latest satellite network, a transaction it expects to close on 5 November.

In an SEC filing, Globalstar explained Apple’s main investment covers a fresh satellite constellation, more ground infrastructure and an expanded global licensing deal.

The US device maker will take 85 per cent of the new fleet’s capacity, with Globalstar free to use the remainder for other customers.

Apple revealed a plan to enable iOS18 device users to employ satellites for messaging when mobile connectivity is not available at its WWDC 2024 event in June.

The deal is a big boost for Globalstar in terms of frontloading its revenue: it stated the terms mean receipt of certain annual service fees worth $30 million can be accelerated.

Globalstar added a portion of the cash proceeds will go towards repaying current debt along with the capital requirements of its extended satellite network.