Amazon will probably have its own airline soon
Amazon’s aircraft fleet is going to double in size in the coming months, potentially expanding into an airline and hauling third-party shipments.
Amazon’s air cargo fleet is a critical part of the company’s strategy to meet its increasingly ambitious one- and two-day delivery targets. By the end of 2022, Amazon will have a fleet of 85 planes, reports CNBC.
Analysts believe Amazon’s growth trajectory could set it on a collision course with major shippers, including Fedex and UPS. Morgan Stanley has recently predicted that Amazon will launch a third-party delivery service in the U.S. once the pandemic eases.
But even as it awaits its moment to level up in the cargo industry, Amazon appears to already have its eyes on an even bigger prize, writes Gizmodo. Joseph Schwieterman, director of the Chaddick Institute, told CNBC that the company’s recent decision to cut ties with outside contractors and bring its air cargo operations entirely in-house could signal an eventual ambition to significantly expand Amazon Air into something resembling an airline.
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