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Amazon holiday quarter delivers, threatens profit squeeze for UPS and FedEx – Source Reuters Tech News

(Reuters) – Inc’s (AMZN.O) rapid expansion of one-day shipping delivered a strong holiday quarter and showed the rising ambition of the company, which in six years has created a network that handles nearly as many packages as FedEx Corp (FDX.N).

FILE PHOTO: The logo of Amazon is seen at the company logistics centre in Boves, France, August 8, 2018. REUTERS/Pascal Rossignol/File Photo

Amazon’s growth may squeeze profits at United Parcel Service Inc (UPS.N) and other carriers, but a booming e-commerce industry and Amazon’s own needs mean the older companies are not packing it in.

The world’s biggest online retailer started making its own deliveries after an unexpected surge in 2013 holiday orders swamped UPS and FedEx. Amazon delivered 3.5 billion – or roughly half – of its global orders in 2019.

By comparison, 46-year-old FedEx handled about 3.8 billion deliveries in its latest fiscal year. Amazon also made significant gains against UPS, which was founded in…

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Source Reuters Tech News

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