Amazon Launches New Supply Chain Business
Amazon has launched abased on the internal logistics network it’s spent two decades building (, subscription).
What’s going on:The company“is trying to do for logistics what its Amazon Web Services unitwith a new business called Amazon Supply Chain Services.”
- The new service, announced on Monday, is “a centralized place for companies from consumer-goods manufacturers to apparel retailers to hire Amazon for services such as fulfillment, ocean and air shipping, and truck transportation.”
Why it’s important:The move makes Amazon a third-party logistics provider and “positions [it] to take a bigger bite out of a global market for third-party logistics services that is estimated at more than $1.3 trillion.”
- In 2025, Amazon became the world’s largest 3PL firm based on gross logistics revenue.
What’s different about it:While Amazon businesses thus far “have largely been offered piecemeal,” the new offering will aim to fulfill customers’ “full supply chain needs.”
A marketplace opening:The new business comes at the right time for many companies, which have increasingly been outsourcing their logistics services in recent years as a way to save money and better manage disruptions.