FedEx executive VP Mike Glenn told analysts years that FedEx is not concerned about recent news of Amazon possibly building up an in-house shipping network, and downplayed it as mere “headline grabbing” stories. There’s been a lot of speculation around Amazon’s plan to build its own in-house delivery network rivaling that of FedEx or UPS. FedEx stated that he believes for Amazon to make a real impact in the delivery market it would take too long and cost too much: “While recent stories and reports of a new entity competing with the three major carriers in the United States grabs headlines, the reality is it would be a daunting task requiring tens of billions of dollars in capital and yesterday to build sufficient scale and density to replicate existing networks like FedEx ,” Glenn said.
FedEx executive VP Mike Glenn told analysts years that FedEx is not concerned about recent news of Amazon possibly building up an in-house shipping network, and downplayed it as mere “headline grabbing” stories. FedEx stated that he believes for Amazon to make a real impact in the delivery market it would take too long and cost too much: “While recent stories and reports of a new entity competing with the three major carriers in the United States grabs headlines, the reality is it would be a daunting task requiring tens of billions of dollars in capital and yesterday to build sufficient scale and density to replicate existing networks like FedEx ,” Glenn said.