SEATTLE — Amazon.com Inc. has reached a new agreement with the United States Postal Service that retains 80% of the deliveries that the government agency makes on behalf of its largest customer.
Under the deal, USPS continues to receive revenue it needs as it works to stem annual financial losses. The agency has begun selling access to its delivery infrastructure in remote locations for use by private shippers, including Amazon, which compete for the loyalties of rural residents.
For Amazon, the agreement buttresses its push into rural areas. The e-commerce giant is investing billions of dollars to speed deliveries in rural parts of the country, where it is building a network of delivery stations for package pick-up by carriers including FedEx and UPS, gig workers, and small-business owners who contract with Amazon for last-mile services.
“We’re pleased to have reached a new agreement with USPS that furthers our longstanding partnership and will let us continue supporting our customers and communities together,” Terrence Clark, an Amazon spokesperson, said in a statement.
