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Amazon explores cutting ties with USPS, building its own delivery network

Amazon has long been the Postal Service’s top customer, providing more than $6 billion in annual revenue to the agency in 2025.

Amazon is preparing to expand its nationwide delivery network and give up its long-standing partnership with the U.S. Postal Service, according to three people with knowledge of the matter, a move that could make the e-commerce goliath the most ubiquitous delivery service in the country and wreak havoc on the postal agency’s long-term financial viability.
Amazon has long been the Postal Service’s top customer, providing more than $6 billion in annual revenue in 2025, said two of the people who, like others in this report, spoke on the condition of anonymity to share confidential business information. That would account for roughly 7.5 percent of the agency’s revenue in the past year. The Postal Service does not disclose its financial relationships with major shippers.
Amazon — whose founder, Jeff Bezos, owns The Washington Post — has been in talks with the Postal Service over what the mail agency calls “negotiated service agreements,” which lock in rates and hasten delivery for its largest clients. But formal talks have largely concluded with no new deal, the people said. Amazon is readying plans to pull the billions of packages it sends through the Postal Service by the end of 2026, the people said.
The people cautioned that the plans are not final and could change. Postmaster General David Steiner met virtually with Amazon chief executive Andy Jassy on Nov. 14, and the company hopes to reach an agreement, the people said.
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The Truth
The Truth
1 month ago

It looks like the handwriting is on the wall here; Amazon will eventually be gone. Until, that is, they can’t handle the volume and run to the USPS that will always take them back, even if it’s a penny a package profit. Somebody needs to charge them a premium to bail them out, but it won’t happen.

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