Amazon to halt third-party delivery service that competes with UPS and FedEx
Amazon is taking a break from its two-year-old Amazon Shipping pilot program in the U.S.—in a move seen as potentially benefiting package giants UPS and FedEx.
The company announced that it’ll pause the program, known as Amazon Shipping, starting in June, reports Forbes.
Under the program, Amazon drivers would pick up packages from businesses and deliver them to consumers, rather than ship orders from Amazon warehouses.
“We understand this is a change to your business, and we did not take this decision lightly,” Amazon said in a note to shippers, writes Marketwatch. “We will work with you over the next several weeks so there is as little disruption to your business as possible.”
Amazon did not specify when and if it might restart the program.
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