Apple’s Emergency SOS link puts it into the satellite fight with SpaceX and more

Image: Apple

It is clear that Apple has not just introduced a new feature after announcing that the iPhone 14 and 14 Pro can send messages via satellite in emergencies. It is almost overnight become a key player in a new industry by getting involved with satellite communications.

Apple will use Globalstar's constellation of 24 satellites to run its service, as well as confirm rumors about its plans for Band 53 / n 53 communications. As T-Mobile put it when it announced a partnership with SpaceX last month to create its own emergency communications service, Apple has joined the list of companies trying to eradicate dead zones. Apple's emergency service will only be available in the US. It might be less reliable in northern parts of Alaska and not all international travelers will be able to use it.

There is a surprising number of players in the field of satellite launches. One company is attempting to build a worldwide emergency communications network that works with unmodified phones, and it claims that it was the first to send a text from space during a 2020 test of its satellite. A company called AST SpaceMobile hopes to use satellite-to-phone communications for 4G and even 5G internet by the end of this week. Amazon is involved with its project, but so far the agreements we have heard about involve sending internet to cell towers instead of directly to phones.

The #iPhone14 SOS messaging is a testament to the importance of satellite connectivity on your phone. Just imagine using SpaceMobile's planned space-based cellular broadband network with any device at 4G/5G speed anywhere. Looking forward to launching #BlueWalker3 this week!

— Abel Avellan (@AbelAvellan) September 7, 2022

Apple made it clear that it would be involved with the emergency response system during the launch event for the new phone. "We have set up relay centers staffed with highly-trained emergency specialists ready to get your texts and call an emergency service provider on your behalf." The company said it was involved in infrastructure innovation over the past few years, but that doesn't tell the whole story.

Most of Apple's $450 million investment will go to Globalstar according to a report. 95 percent of the costs for new satellites associated with the feature will be paid by Apple.

Image: Apple

Tim Farrar, an analyst at Telecom, Media and Finance, said that he expects those satellites to cost Apple up to $50 million by the end of the century. Apple appears to be paying a relatively low price for the service. Globalstar had revenues of over 120 million dollars last year. He said that Apple would pay $110 million to Globalstar next year. The service will be free for the first two years, but Apple isn't saying how much it will cost after that.

Pressure could come from that price. T-Mobile might not be willing to pay more than $100 million per year for emergency text services in the US. It's hard to imagine that Apple's official announcement won't have an impact on discussions between the two companies.

Globalstar doesn't seem interested in working with Apple alone. The company has a list of potential partners that could be interested in using its spectrum. The list includes cable companies, legacy or upstart wireless carriers. Other operators are interested in that spectrum but not through a partnership with Globalstar. The Federal Communications Commission was asked to allow it to share the band 53 and n 53 spectrum that Apple uses.

The inclusion of major carriers and their competitors shows that Globalstar hopes this will become a popular feature. He points out that Apple has the right to make decisions that could affect Globalstar. If Apple thought an agreement with another carrier would cause too much strain on the network, it could shut the proposal down.

An interesting regulatory situation is created by that power. The FCC considers a company to be a part owner if it has enough control over the company that is licensed to use spectrum. If Apple wanted to increase its investment in or control of Globalstar much more, it would have to get approval from regulators.

The introduction of a satellite communications feature to the iPhone was always going to have a big impact on the market as a whole, and even more so for any company it works with to make that happen. It has been seen in fitness, fashion, entertainment, and other areas. The details show Apple's involvement with Globalstar. It isn't content to just have a partner that does its own thing while providing a service