The much talked about rumor of Amazon having its own freight business has just been confirmed. Amazon is now officially going into the air freight business with the announcement that the Seattle online retailer has signed a five- to seven-year lease for 20 cargo planes.
Amazon taking control of a portion of its own logistics chain can definitely help the company cut some costs and delivery time.
According to their spokesperson “These planes provide critical capacity expansion to support the growth of Prime in the U.S. Planes provide an additional dedicated transportation method connecting Earth’s largest selection to customers from coast to coast. At our scale, supporting growth requires adding some of our own logistics capabilities.”
Air Transport Services Group (ATSG) of Wilmington, Ohio, announced Wednesday that it had signed an agreement to operate an air cargo network of 20 Boeing 767 freighter aircraft for Amazon Fulfillment Services in the United States.
According to ATSG Presidet, Joe Hete, “Since last summer, we have been working closely with Amazon to demonstrate that a dedicated, fully customized air cargo network can be a strong supplement to existing transportation and distribution resources.”
With this announcement it seems that Amazon is pushing to build its own shipping company.
Credits for this news from www.usatoday.com – http://usat.ly/1pgknKK