Amazon Plans to Handle 90% of US Deliveries by 2029

Amazon.com Inc. projects that its internal delivery network will handle nearly 90% of its U.S. packages by 2029, according to a July internal planning document. The preliminary forecast estimates first-party delivery will reach 86.3% in 2027 and 88.7% by 2029, totaling approximately 15.8 billion packages.

This expansion is driven by CEO Andy Jassy's strategy to increase customer purchase frequency through faster delivery speeds. To achieve these targets, the company is expanding its Sub Same-Day network and investing over $4 billion to triple its rural delivery network by the end of 2026.

As Amazon scales its own logistics, the role of traditional carriers is shrinking. The United States Postal Service's share is projected to fall to 8% by 2029. United Parcel Service is expected to handle only 1.4% by 2029 after deciding to cut volume due to lower profitability. FedEx currently maintains a minimal role at approximately 0.4% of the company's U.S. package volume.