According to The Wall Street Journal, Amazon has announced plans to launch a new initiative called “Shipping with Amazon” that aims to directly compete with UPS and FedEX. The new program will be comprised of an end-to-end shipping system with pickups fro business and shipments made to consumers.
The service is expected to launch in LA and subsequently roll out nationally and internationally.
The program is slated to be launched with companies that sell products on Amazon and then roll the program out to any business with plans cheaper than FedEx and UPS. Following the announcement by Amazon shares in both FedEx and UPS took a dive, signifying the market’s belief in Amazon’s future success.