"Amazon says it didn't want to reduce shipments with the USPS, and that negotiations only stalled after the USPS "abruptly walked away" from negotiations for a new contract. Amazon claims it's been working with the USPS for over a year on a deal "that would bring them billions in revenue," but the agency walked away at the "eleventh hour" during negotiations last December."
"As reported by the WSJ, Amazon plans to cut packages sent through the USPS by at least two-thirds by this fall, around the same time its contract with the independent federal agency is set to expire. Even as Amazon invests billions in building out a sprawling network of delivery and logistics services, it still works with the USPS for last-mile deliveries - or the final leg of a shipment - especially in rural areas."
Amazon is reducing its reliance on the United States Postal Service following failed contract negotiations. The ecommerce company plans to cut packages sent through USPS by at least two-thirds by fall when its current contract expires. Amazon states it negotiated with USPS for over a year on a deal offering billions in revenue, but the postal service withdrew from talks in December. Despite investing heavily in its own delivery infrastructure, Amazon continues using USPS for last-mile deliveries, particularly in rural areas. The USPS has faced financial difficulties, prompting Amazon's strategic shift toward alternative shipping methods.
Read at The Verge
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