Apple has taken a 20 percent ownership stake in satellite company Globalstar in an equity deal worth around $400 million.

It will also give Globalstar $1.1 billion in cash to expand iPhone satellite services. The deal is expected to close on Tuesday.

The two companies originally partnered in 2022, with Apple rolling out emergency SOS via satellite for iPhone 14. A year later, Apple loaned the company $252m.

In a new filing, Globalstar said that it will continue to allocate about 85 percent of its network capacity to Apple. The new funds will be used to purchase new satellites and expand Globalstar's ground infrastructure.

The company currently operates 31 satellites and has another 26 on the way to augment and replace the low Earth orbit constellation. $232 million of the new cash will go to paying down debt.

Rivals AST SpaceMobile, Iridium, Lynk, and EchoStar are also developing direct-to-device satellites. Meanwhile, SpaceX has plans to deploy its own Starlink satellites for smartphones and other devices, with an initial partnership with T-Mobile.