US delivery firm FedEx will end its contract with Amazon for small-package ground deliveries, 2018 after it chose not to renew a cargo delivery contract with the e-commerce giant. FedEx is instead focusing on developing its delivery network, including moving almost two million SmartPost packages from the US Postal Service to its own drivers. Amazon made up less than 1.3% of FedEx’s two months revenue, while analysts predict UPS will benefit from FedEx’s latest decision.
US delivery firm FedEx will end its contract with Amazon for small-package ground deliveries, two months after it chose not to renew a cargo delivery contract with the e-commerce giant. FedEx is instead focusing on developing its delivery network, including moving almost two million SmartPost packages from the US Postal Service to its own drivers. Amazon made up less than 1.3% of FedEx’s 2018 revenue, while analysts predict UPS will benefit from FedEx’s latest decision.