Amazon.com Plans First Air Cargo Hub

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From The Wall Street Journal:

Amazon.com Inc. said Tuesday it plans to build its first air cargo hub to accommodate its growing fleet of planes, signaling the company is ramping up its expansion into transporting, sorting and delivering its own packages.

The Seattle-based retailer said it expects the new air hub, located at Cincinnati/Northern Kentucky Airport in Hebron, Ky., to create more than 2,000 jobs. The move will lessen its dependence on traditional carriers, including United Parcel Service Inc. and FedEx Corp., both of whose largest hubs are nearby, in Louisville, Ky., and Memphis, Tenn., respectively.

Last year, Amazon said it was planning to lease 40 cargo planes, 16 of which are currently in its fleet. It also brought on a dedicated network of 4,000 semi trailers to increase trucking capacity and has a fleet of citizen courier Flex drivers making deliveries in major metro areas.
Amazon’s goal is to eventually haul and deliver packages for itself as well as other retailers and consumers—making it a direct competitor with UPS and FedEx, according to people familiar with the matter. The air cargo hub follows Amazon’s recent ocean debut, handling shipment of goods by ocean to its U.S. warehouses from Chinese merchants selling on its site, taking on a role it previously left to global freight-transportation companies.

Link to the rest at The Wall Street Journal (Link may expire)

2 thoughts on “Amazon.com Plans First Air Cargo Hub”

  1. Seems like most of my Amazon purchases arrive via the USPS these days. I can’t even remember the last time I saw a FedEx or UPS delivery van.

    Is Amazon also using Uber in places other than major cities? Uber recently asked me if I trusted an applicant (my son-in-law) to deliver a package. No mention of a person.

    • I had an unmarked white cargo van drop off my order last week. (I’d picked the ‘4-5 day no hurry’ delivery option, got $5 credit towards my next purchase and it was still on my doorstep in two working days.)

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