Amazon accelerates satellite broadband push with Delta and Apple deals
The e-commerce and cloud computing leader is expanding its space assets with new partnerships and launch plans, positioning itself against SpaceX’s Starlink in a sector projected to reach $35.7 billion by 2033.
Amazon is advancing its satellite broadband initiative, formerly known as Project Kuiper and now rebranded as Amazon Leo, by securing strategic agreements with Delta Airlines for in-flight Wi-Fi and with Apple for connectivity on iPhones and Apple Watches. The company currently operates over 250 satellites in orbit and has scheduled 20 further launches for the remainder of the year to expand its constellation.
This expansion places Amazon in direct competition with SpaceX’s Starlink, which currently dominates the sector. Starlink maintains its position as the market leader with 9,600 satellites in orbit and reported $11.4 billion in sales for 2025. Amazon remains significantly behind in terms of scale, having completed 10 previous launches, but is working to close the gap through accelerated deployment and high-profile commercial partnerships.
The move into satellite broadband comes against a backdrop of strong financial performance for Amazon. In the fourth quarter of fiscal 2025, the company reported revenue growth of 12 per cent year-on-year to $213.4 billion, with operating income reaching $25 billion. Following the release of these results, Amazon shares rose 31.9 per cent over a one-month period, reflecting investor confidence in the company’s broader growth trajectory.
Market analysts point to the significant potential in the satellite broadband sector as a driver for future value. According to data from Grand View Research, the industry is projected to achieve a compound annual growth rate of 15.1 per cent through 2033, reaching a total market value of $35.7 billion. This growth offers Amazon a new revenue stream and a pathway into broader connectivity and broadband markets.
Despite the positive momentum in its core businesses, including triple-digit growth in its chips segment and a 170 per cent increase in client spend on its Bedrock platform, Amazon was notably absent from The Motley Fool’s current list of 10 best stocks to buy. The investment service highlighted historical examples of high-return recommendations, such as Nvidia and Netflix, to illustrate the potential of their current picks, which do not include Amazon at this time.
