Amazon.com is in advanced discussions to acquire satellite operator Globalstar Inc., a move aimed at strengthening its own satellite operations. According to informed sources, an announcement regarding the transaction could come as early as Tuesday.

This potential deal would signal an escalation in competition between Amazon and Elon Musk's SpaceX, and it may accelerate Amazon's efforts to build its low Earth orbit satellite network, known as Amazon Leo.

Sources indicated that a final agreement has not yet been reached, and negotiations could still fall through or the timing might change.

Globalstar's stock price has nearly quadrupled over the past year, giving the company a market valuation of approximately $9.4 billion.

Amazon is developing its Amazon Leo low Earth orbit satellite network with the goal of providing high-speed internet service to rural and remote areas of the United States. The plan involves operating more than 7,700 satellites. The service is currently being tested with select enterprise customers. Amazon has applied to the U.S. Federal Communications Commission for a waiver or an extension of its deadline to launch 1,600 satellites by July, a target that Amazon Leo currently appears far from achieving.

An acquisition of Globalstar could accelerate Amazon's progress, as Globalstar already operates a functional satellite network. While Globalstar's network is smaller than Starlink, it primarily focuses on providing connectivity for mobile phones and other devices in areas with weak signal coverage.