FedEx has opted not to renew its ground-shipping contract with Amazon, according to Bloomberg News. It’s the latest move from the shipping company as it works to sever ties with the e-commerce giant, which has increasingly worked to build out its own delivery infrastructure.
FedEx’s contract with Amazon was set to expire at the end of August, and it comes just two months after FedEx announced that it wouldn’t renew Amazon’s FedEx Express contract, which the online retailer used to transport packages by air. This newly ended contract focused on FedEx’s ground deliveries that helped bridge the “last-mile” gap between Amazon’s warehouses and its customers.
The move from FedEx comes as Amazon has increasingly become a competitor for the shipping firm. FedEx has previously said that Amazon isn’t a huge customer for it: the online retailer makes up around 1.3 percent of its total revenue.
Full Content: Bloomberg