Amazon looks to add more competition in the courier business, as The Wall Street Journal reports the company is preparing a delivery service for businesses, which would compete with UPS, FedEx and the U.S. Postal Service.
According to sources, the e-commerce company expects to roll out this delivery service, dubbed “Shipping with Amazon” or SWA, in Los Angeles in the next few weeks. The service essentially involves Amazon picking up packages from businesses and then shipping them to consumers, which is suggested to expand to other cities later this year.
Amazon’s third-party sellers will be piloting the program and could eventually be opened to other businesses too, and the online retail giant will reportedly offer lower shipping prices compared to what UPS and FedEx charges, however, the exact rate structure is still unclear.
While Amazon will control the method of those shipments, pickups and deliveries for now will still be handled by various carriers, including UPS and FedEx.
For additional details, be sure to read the full story on The Wall Street Journal.
In related news, Gordon Ramsay can now citique your cooking on Amazon’s Echo.
- Source: The Wall Street Journal