Aug 7, 2019

FedEx ends Amazon ground deliveries

A FedEx warehouse in Florida. Photo: Joe Raedle/Getty Images

FedEx said Wednesday that it will not renew its U.S. ground delivery contract with Amazon, Bloomberg first reported.

The big picture: The shipping giant's decision, coupled with its move just weeks ago to end its contract to transport Amazon packages by air, comes as Amazon transforms from a customer to a competitor. The e-commerce company is adding trucks, planes, employees and even an air hub to strengthen its logistics arm — directly targeting the big U.S. shippers.

Context: After months of dismissing Amazon as a potential threat, FedEx labeled the tech company as a competitor in its most recent 10-K report, stating that its continued expansion into shipping and logistics "will reduce our revenue and could negatively impact our financial condition and results of operations."

By the numbers:

  • As we've reported, Amazon has surpassed all of its logistics partners to become its own biggest shipper, according to data from Rakuten Intelligence. Amazon now ships around 47% of its own packages. FedEx ships just under 2%.
  • As e-commerce continues to grow in the U.S. and around the world, FedEx still has scores of customers in the industry. Amazon currently makes up only about 1% of FedEx's revenue.

"FedEx has been a great partner over the years and we appreciate all their work delivering packages to our customers," an Amazon spokesperson tells Axios.

Go deeper: Amazon breaks into the shipping war

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Amazon's HQ2 could drain D.C.'s tech talent

Illustration: Sarah Grillo/Axios

Amazon is only just starting to post job openings for its second headquarters in northern Virginia — and local startup founders are watching with apprehension.

The big picture: Amazon HQ2 has the potential to turn the D.C. region into a tech hotspot, but smaller companies are worried that the short-term impact of Amazon coming to town will be a brain drain.

Go deeperArrowAug 28, 2019

Earth's lungs are burning

A charred trunk is seen on a tract of Amazon jungle that was recently burned by loggers and farmers in Brazil. Photo: Bruno Kelly/Reuters

The Amazon rainforest is burning faster than usual, it's most likely because of humans clearing land for agriculture, and it will make efforts to fight climate change harder if it doesn't stop fast.

Why it matters: "By one recent estimate, the trees of the Amazon rainforest pulled in carbon dioxide equivalent to the fossil fuel emissions of most of the nine countries that own or border the forest between 1980-2010," the BBC reported.

Go deeperArrowAug 22, 2019

Jewish groups mark remembrance day with Trump immigration policy protests

Members of the Jewish community protest to demand an end to the detention of migrants, refugees and asylum-seekers, Los Angeles, Aug. 11. Photo: Mark Ralston/AFP/Getty Images

Dozens of demonstrators were arrested at an Amazon store in Manhattan Sunday as thousands of Jewish Americans across the United States protested President Trump's hardline immigration policies and Immigration and Customs Enforcement (ICE) this weekend, PIX 11 reports.

Why it matters: Rallies took place during Tisha B'Av, traditionally a Jewish day of remembrance marked by fasting, reading from the book of lamentations and going to temple, per the Washington Post. It notes there's been a rise in activism among Jewish Americans against Trump's policies, reminiscent for some of the way Jewish people were treated in the past.

Go deeperArrowAug 12, 2019