GlobalStar (GSAT) Q3 2025: IoT Unit Activations Double, Underscoring Spectrum Leverage at Industry Inflection

November 6, 2025 | By EarningsIQ Research

GlobalStar’s Q3 marks a decisive acceleration in commercial IoT, with total units up 100% year-over-year and the two-way RM200M module launching globally. The company’s unique globally harmonized spectrum and ongoing C3 ground infrastructure buildout position it at the center of a rapidly converging satellite and terrestrial connectivity market. As XCOM RAN expands beyond warehouse automation and government wins ramp, GSAT’s strategic posture signals mounting relevance—and optionality—across mission-critical communications.

Summary

• Commercial IoT Momentum: Unit activations and device sales surged, reflecting both share gains and new use cases.
• Spectrum Differentiation: GlobalStar’s harmonized spectrum portfolio provides rare, global coverage and regulatory clarity.
• XCOM RAN Expansion: Private wireless traction broadens addressable markets and lays foundation for recurring software revenue.

Performance Analysis

GlobalStar delivered a quarter of operational acceleration, underpinned by a 40% increase in gross IoT activations and a 100% rise in total IoT units year-over-year. This growth was achieved prior to the impact of the new RM200M two-way module, which is now certified and available for global deployment. The commercial IoT segment, which leverages GSAT’s licensed spectrum for logistics, safety, and infrastructure applications, continues to diversify the company’s revenue base.

On the satellite infrastructure front, the C3 constellation buildout advanced with approximately 30 ground sites under construction and a plan for 90 new tracking antennas globally, enhancing both capacity and resilience. The XCOM RAN business, focused on private wireless networks for automation and robotics, secured a new customer and expanded its footprint beyond warehouses to high-density venues such as convention centers and airports. Government sector traction, highlighted by the Parsons partnership, transitioned from proof of concept to commercial engagement, reinforcing GSAT’s relevance in defense and public safety.

• IoT Adoption Surge: Existing one-way systems drove near-term growth, with two-way modules poised for incremental gains as integration ramps.
• Ground Network Expansion: C3 infrastructure investments enhance network reliability and future-proof GSAT’s service capabilities.
• Private Wireless Margins: XCOM RAN margins are described as “good,” with a developing annuity model from software licensing and network-as-a-service.

GSAT’s operational progress is translating into a more balanced, diversified, and scalable business model, with visible drivers across commercial, government, and enterprise segments.

Executive Commentary

Strategic Positioning

1. Globally Harmonized Spectrum

GSAT’s spectrum assets—16.5 MHz in S band, nearly 9 MHz in L band, and over 300 MHz in C band—are globally harmonized, meaning they are licensed for use nearly worldwide, not just regionally. This regulatory clarity and operational reach offer a unique moat, especially as competitors spend billions for less versatile assets.

2. Infrastructure and Satellite Roadmap

The C3 constellation and ground network expansion, including 90 new tracking antennas and new sites across three continents, future-proofs network capacity and reliability. The Hiblio XL1 filing positions GSAT to expand operational frequencies and potentially participate in mega-constellation partnerships without committing immediate capital.

3. XCOM RAN and Private Wireless

XCOM RAN, GSAT’s private wireless solution, is demonstrating superior economics and reliability versus industrial Wi-Fi, especially for large-scale robotics and automation. The business model integrates equipment sales, spectrum licensing, and—critically—a software annuity via network-as-a-service, establishing a recurring revenue foundation as deployments scale.

4. Government and Enterprise Diversification

Government contracts, particularly with Parsons, are moving from pilot to commercial phase, validating GSAT’s ability to deliver secure, low-latency connectivity for mission-critical applications. Management expects government revenue contribution to expand in 2026 and beyond, further diversifying the top line.

5. Commercial IoT and Product Innovation

The global launch of the RM200M two-way module opens new customer segments and use cases, especially as integration into finished products accelerates. GSAT is already seeing interest from customers who previously required two-way capability, setting up a multi-year adoption curve.

Key Considerations

GSAT’s quarter reflects a company at a strategic crossroads, leveraging spectrum and infrastructure investments to capture rising demand across multiple verticals. The following factors will shape its trajectory:

Key Considerations:

• Device Ecosystem Scale: Over 500 million enabled devices create a large and growing installed base for future service monetization.
• Recurring Revenue Potential: XCOM RAN’s shift toward software licensing and network-as-a-service could boost margin durability as deployments mature.
• Government Pipeline Visibility: Parsons and other public sector wins reinforce GSAT’s credibility in critical communications, with revenue impact expected to build in 2026.
• Product Timing and Integration: Two-way module growth is still in early innings, with most current momentum from legacy one-way systems; watch for lag between module sales and downstream service revenue.

Risks

Execution on large-scale infrastructure projects, including C3 deployment and ground network expansion, carries timing and capital risk, especially with launch windows still being finalized. Competitive pressure from larger satellite and terrestrial players, as well as evolving regulatory frameworks, could challenge GSAT’s spectrum advantage. Delayed integration of new products and slower-than-expected adoption in government or enterprise channels may impact the pace of recurring revenue growth.

Forward Outlook

For Q4 and into 2026, GlobalStar management guided to:

• Continued progress on C3 constellation milestones, with ground network construction on track and updated satellite launch timing expected in early 2026.
• Acceleration in government and enterprise deployments, with commercial IoT adoption further supported by the global rollout of the RM200M module.

For full-year 2025, management reiterated its focus on:

• Completing key infrastructure buildouts and expanding the enterprise and government pipeline.

Management highlighted several factors that will shape the coming quarters:

• Integration and scaling of two-way IoT modules into customer products and services.
• Broader XCOM RAN adoption across new verticals, with software annuity revenue expected to build over time.

Takeaways

GlobalStar is emerging as a pivotal player at the intersection of satellite and terrestrial connectivity, with its harmonized spectrum and infrastructure investments creating both operational leverage and strategic optionality.

• IoT and Private Wireless Growth: Rapid IoT activations and XCOM RAN expansion signal rising commercial traction and a path to recurring revenue.
• Spectrum as a Strategic Asset: Regulatory clarity and global coverage underpin GSAT’s differentiation in a consolidating industry.
• Watch for Inflection in Recurring Revenue: The transition to software and network services, especially in private wireless, will be critical to margin expansion and valuation re-rating.

Conclusion

GlobalStar’s Q3 showcased accelerating commercial momentum, spectrum-driven differentiation, and a clear roadmap to recurring revenue through both IoT and private wireless. The company’s execution on infrastructure and product innovation positions it to benefit from rising demand for resilient, global connectivity—making it a strategic asset as the communications landscape converges.

Industry Read-Through

GSAT’s results highlight the rising importance of globally harmonized spectrum and integrated satellite-terrestrial infrastructure in the communications sector. As more devices and mission-critical applications demand seamless coverage, operators with global reach and regulatory clarity will command premium positioning. The rapid growth in IoT activations and the shift toward recurring software revenue in private wireless are signals that other satellite and network providers must heed, especially as industry consolidation accelerates and spectrum assets become increasingly strategic. Expect further convergence between satellite, IoT, and private wireless players, with spectrum ownership and product integration as key battlegrounds.

GSAT Communication Services Satellite Spectrum IoT Private Wireless Recurring Revenue Infrastructure