Tag Archives: Shipping
Is there anyone who Amazon isn’t competing with?
In a recent regulatory filing, (amzn) Amazon added “transportation and logistics services” to the already long list of industries and services it views as competition. While Amazon relies on shipping partners, like USPS, UPS, and FedEx to help make deliveries, the disclosure signals that Amazon is getting serious about making its mark with its own delivery service.
“The worldwide marketplace in which we compete is evolving rapidly and intensely competitive, and we face a broad array of competitors from many different industry sectors around the world,” Amazon said in the annual filing.
Amazon’s shipping costs were $ 9 billion, according to its most recent earnings report. That’s a 23% increase from the previous quarter, but shows just how much customers value Amazon Prime’s free shipping options. Amazon has already taken some steps to build a delivery infrastructure to supplement its partners. The company leased a fleet of airplanes to carry cargo, has delivery vans, and has been piloting a “Shipping With Amazon” program, which entails drivers picking up packages from third party sellers and delivering them.
There has also long been speculation about whether Amazon, one of the world’s most valuable companies, might consider a surprise acquisition of a transportation and logistics competitor. UPS CEO David Abney said last month that while Amazon is a customer, he also sees the company as a competitor.
Amazon CEO Jeff Bezos has always been fascinated with finding ways to revolutionize delivery. He shared his vision for drone delivery in 2013. Bezos predicted it would be a reality by the end of 2018, however the program has hit regulatory snags in the United States. Amazon made its first commercial drone delivery in Cambridge, England in December 2016. They’re also deploying delivery robots. Last month, Amazon unveiled its new Scout delivery robot, which is making test deliveries in a neighborhood in Snohomish County, Wash.
WASHINGTON (Reuters) – Shares of Amazon.com Inc (AMZN.O) pared earlier gains on Tuesday after U.S. President Donald Trump repeated his unsubstantiated claim that deliveries for the world’s biggest online retailer cost the U.S. Postal Service money and threatened to raise rates.
Citing an unnamed report, Trump told reporters at the White House the company is not paying the USPS a fair rate, costing U.S. taxpayers billions of dollars and forcing other retailers out of business.
It was the latest salvo in a string of attacks in recent days as Trump stepped up his criticism of Amazon and its founder and Chief Executive Jeff Bezos, who privately owns The Washington Post.
Amazon shares were down about 0.3 percent in early afternoon trade on the Nasdaq after trading up about 1.8 percent on Tuesday morning before Trump’s latest Amazon-related tweet, making another day of volatility after its shares fell more than 5 percent a day earlier.
Trump attacked the company over its shipping on Monday after criticizing it last week over taxes.
On Tuesday, he said the federal government was subsidizing deliveries for Amazon and the company would need to pay more.
“The post office is losing billions of dollars … because it delivers packages for Amazon at a very low rate,” Trump told reporters. “If you look at the cost that we’re subsidizing, we’re giving a subsidy to Amazon.”
Trump offered no specific details about the report he cited to back up his criticisms or how he planned to charge the company more through USPS.
Representatives of Amazon and USPS had no comment on Trump’s tweet on Tuesday, and could not be immediately reached regarding his latest comments to reporters.
Reporting by Steve Holland; Additional reporting by Makini Brice and Lisa Lambert; Writing by Susan Heavey; Editing by Bill Rigby and Chris Reese
(Reuters) – British shipping services provider Clarkson Plc said it was subject to a cyber security incident and warned that the person or persons behind the incident may release some data on Wednesday.
“As soon as it was discovered, Clarkson took immediate steps to respond to and manage the incident,” the company said.
“Our initial investigations have shown the unauthorized access was gained via a single and isolated user account which has now been disabled,” Clarkson said.
The London-headquartered company said it had been working with the police on the incident.
Reporting by Rahul B in Bengaluru; Editing by Maju Samuel