March 10, 2016
Twenty Boeing Jets Leased in New Deal to Provide Faster Delivery
Those hoping to get their Amazon packages quickly likely won’t be waiting long thanks to an impressive development from the e-commerce giant.
Wednesday it was revealed Amazon has leased 20 Boeing 767 freighter planes to assist in the shipping and delivery of parcels. The move means parcels will be soaring through the air at an even more rapid pace than they currently do.
The planes are reportedly being dedicated to deliveries in the United States. The move not only indicates Amazon’s growth in popularity but also shows the company’s business sense considering, last year, it spent $11.5 billion on shipping.
“We offer Earth’s largest selection, great prices, and ultra-fast delivery promises to a growing group of Prime members,” Dave Clark, Amazon senior vice president of worldwide operations and customer service, was quoted as saying by Digital Trends, “and we’re excited to supplement our existing delivery network with a great new provider, ATSG, by adding 20 planes to ensure air cargo capacity to support one and two-day delivery for customers.”
While it sounds as though Amazon’s move could take a big bite out of business for delivery companies currently used to get those boxes to buyers, industry experts say it shouldn’t impact the grand scheme of things.
“This is an incremental negative for FDX and UPS as it will likely remove some higher yielding express freight and parcel volume from each of the respective networks,” RBC Capital Markets analyst John Barnes wrote in a client note quoted by Reuters.
W. Brice McVicar is a staff writer for SiteProNews.