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Amazon Opens Logistics Network to Rivals, Challenges UPS and FedEx

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The signal

Amazon is opening its proprietary logistics infrastructure to external businesses, marking a strategic shift toward becoming a shared logistics provider.

This move directly challenges the market dominance of traditional carriers UPS and FedEx by leveraging Amazon's extensive network of warehouses, sorting facilities, and delivery infrastructure.

For supply chain professionals, this signals increased competition in parcel services and potential new fulfillment options, though implications depend on pricing, service levels, and geographic coverage Amazon offers.

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