US e-commerce and technology giant Amazon has launched Amazon Supply Chain Services, a new commercial offering that opens the company's entire internal logistics infrastructure, including freight, distribution, fulfilment, and parcel shipping, to any business, regardless of whether they sell on Amazon's marketplace, representing a fundamental shift in how large enterprises can access integrated supply chain operations at scale.
GeekWire reported that the launch sent shares of UPS down nearly 10% and FedEx down more than 9%, as Amazon, already the largest parcel shipper in the United States by volume, formally entered the third-party logistics market as a direct competitor to both carriers.
Amazon's logistics network includes more than 200 fulfilment centres in the US, more than 80,000 trailers, 24,000 intermodal containers, and more than 100 cargo aircraft, delivering 13 billion items annually.
Initial customers include Procter & Gamble, which is using Amazon's freight network to transport raw materials; 3M, which is using it to move products to distribution centres; Lands' End, which is fulfilling orders across sales channels from Amazon's warehouses; and American Eagle Outfitters, which is using Amazon's parcel service for last-mile delivery.
The service supports industries including healthcare, automotive, manufacturing, and retail, offering two-to-five-day delivery timelines, warehousing, and inventory forecasting capabilities across ocean, road, rail, and air freight networks.
David Larsen, who leads Amazon Supply Chain Services and is an 18-year Amazon veteran who previously led internal transportation and delivery technology operations, said Amazon is bringing its supply chain to outside businesses in a manner similar to how Amazon Web Services opened cloud computing to the broader market.
Get the full details on Amazon's Supply Chain Services launch and its implications for the logistics sector here.



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