UPS, FedEx down on report of Amazon's own delivery service

[cheryl]

UPS, FedEx down on report of Amazon's own delivery service - Reuters

Shares of United Parcel Service Inc and FedEx Corp fell on Thursday after a report that Amazon.com Inc was testing its own delivery service, potentially encroaching on the territory of the package delivery companies.

Amazon will oversee pickup of packages from warehouses of third-party merchants selling goods on its website and their delivery to customers' homes - a function often handled by longtime partners UPS and FedEx, according to sources cited by Bloomberg.

UPS’ shares fell as much as 2 percent to $116.52, while those of FedEx dropped 1.6 percent to $217.77.

 

[RPSman]

Ah, hah! How many times have I been told that no one would ever attempt to compete with the UPS/Fed Ex duoploy? I knew that what Amazon is now doing was on the horizon, the same as when I prophesied in 1994-95 while a Roadway Package System contractor, that one day Fed Ex and RPS would merge. If Amazon will acquire strategically located and profitable regional parcel companies to have an infrastructure, then here we go again like when RPS started. My only regret is that my age and current physical condition will keep me from being a part of this new company.

 

[bacha29]

Ah, hah! How many times have I been told that no one would ever attempt to compete with the UPS/Fed Ex duoploy? I knew that what Amazon is now doing was on the horizon, the same as when I prophesied in 1994-95 while a Roadway Package System contractor, that one day Fed Ex and RPS would merge. If Amazon will acquire strategically located and profitable regional parcel companies to have an infrastructure, then here we go again like when RPS started. My only regret is that my age and current physical condition will keep me from being a part of this new company.

You don't want to be a Fedex contractor today and you most definitely do not want to have anything to do with Bezos because as is the case with Ground you would be nothing more than a pathway to cheap labor very cheap labor, that is if you can find labor as cheap as Bezos wants. Given that every day an average of 12,000 boomers go marching off to retirement and will do so every day 365 days a year for the next 17 years finding not just cheap labor but Bezos cheap labor will be no mean feat.