FedEx Cutting Shipping Ties With Amazon
FedEx, a courier delivery Services Company is cutting-off its shipping partnership with Amazon as it is more a competitor than a partner, per Business Insider.
“This change is consistent with our strategy to focus on the broader e-commerce market,” FedEx said.
The company announced that they would no longer make ground deliveries for Amazon and terminated their air delivery contract with Amazon.
Amazon is creating its logistics infrastructure in a similar way to its web hosting sector. At the same time, the e-commerce giant is making a place for retailers like Walmart and Target.
Citi Research analyst Christian Wetherbee said, “This does not come as a surprise to us.” He added, “The Company is trying to move away from its partnership with Amazon, and we believe it is using this move as a selling point to win new non-Amazon business.”