Video: Erica Pandey/Axios

As they've boomed, Silicon Valley giants like Uber, Google and Apple have turned into startup factories. But Amazon — with a few notable exceptions in Hulu, Instacart and Flipkart — hasn't had many cases of alums leaving to become founders.

Now Amazon is promoting entrepreneurship — even offering funding — and encouraging employees to start companies, but only if they are in service of the e-commerce giant.

What's happening: With a new program, Amazon is paying employees $10,000 plus three months of pay to quit and start small businesses that deliver Amazon packages.

  • "We’re looking to add hundreds more new businesses this year," an Amazon spokesperson tells Axios.
  • Although the incentives are only available to Amazon employees, anyone is welcome to apply to start a delivery business for the behemoth, the company says. Milton Collier, a freight broker in Atlanta, tells the AP he has 120 employees and 50 vans that deliver Amazon boxes every day.
  • A flurry of small businesses that exist solely to serve Amazon's shipping ambitions will make the giant's logistics arm even stronger. As we've reported, the company is already turning into a formidable competitor for UPS and FedEx.

The bottom line: Amazon is creating an ecosystem distinct from its Big Tech brethren.

  • The bulk of companies that are spun out of Uber, Google and others are unrelated to those firms' core businesses, but Amazon wants to fuel the creation of startups that help make it stronger.
  • While many Amazon managers and executives tend to stay with the company long term, dozens who have left have gone on to start retail consultancies that adviser merchants who sell on ... Amazon.

Go deeper

Updated 5 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 2:30 p.m. ET: 33,785,178 — Total deaths: 1,010,147 — Total recoveries: 23,448,934Map.
  2. U.S.: Total confirmed cases as of 2:30 p.m. ET: 7,210,067 — Total deaths: 206,494 — Total recoveries: 2,813,305 — Total tests: 103,155,189Map.
  3. Health: The coronavirus' alarming impact on the body.
  4. Business: Real-time data show economy's rebound slowing but still going.
  5. Sports: Steelers-Titans NFL game delayed after coronavirus outbreak.
Updated 17 mins ago - Politics & Policy

Tim Scott says Trump "misspoke" when he told Proud Boys to "stand by"

Photo: Bonnie Cash/Pool/AFP via Getty Images

Sen. Tim Scott (R-S.C.) told reporters on Wednesday that he believes President Trump "misspoke" when he told the far-right "Proud Boys" group to "stand back and stand by" in response to a question about condemning white supremacy at the first presidential debate.

Catch up quick: Moderator Chris Wallace asked Trump on Tuesday, "Are you willing, tonight, to condemn white supremacists and militia groups and to say that they need to stand down?" Trump asked who specifically he should condemn, and then responded, "Proud Boys, stand back and stand by. But I'll tell you what, somebody's got to do something about antifa and the left."

59 mins ago - Podcasts

Palantir co-founder on its mission and controversies

Palantir Technologies today went public at an initial valuation of more than $21 billion, giving investors a chance to buy into one of Silicon Valley's most talked-about tech companies.

Axios Re:Cap dives into Palantir's mission and controversies with company co-founder Joe Lonsdale.