Friday, December 4, 2015

Amazon: Additional deliveries with our own truck fleet

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A truck drives past the Amazon.com fulfillment center in Robbinsville, New Jersey, Nov. 30, 2015.
Michael Nagle | Bloomberg | Getty Images
A truck drives past the Amazon.com fulfillment center in Robbinsville, New Jersey, Nov. 30, 2015.
Amazon.com is getting into the delivery game itself, the company announced on Friday.
The e-commerce giant will employ its own fleet of trailers to deliver orders around the country. They will number in the "several thousands" and will be hauled by third party tractors, according to an Amazon spokesperson.
The Amazon-branded trucks are being used to help Amazon handle "dramatically increasing" volumes, the company said. The new method will be another tool the company can use to help deliver items on time.
Amazon said the new trucks will serve as additional delivery power and that it will not cancel, or for that matter compete with, its existing partnerships with traditional shippers like FedEx and UPS.
Shares of Amazon, FedEx and UPS were all slightly higher in Friday morning trade.
The trucks will be used to deliver packages between Amazon warehouses, rather than to customer doors, the core business of FedEx and UPS.

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