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Amid Increasing Competition, Amazon Loses its Contract with FedEx

Since FedEx has refused to transport Amazon parcels via air, it remains unclear how Amazon would be able to keep up with its recently-introduced one-day delivery program for Prime members in the US

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Amazon, online retailer, Drones
The Amazon warehouse in San Fernando de Henares is seen during a 3-day walkout to demand better wages and working conditions, on the outskirts of Madrid, Spain. VOA

Amid increasing competition, global courier company FedEx has decided not to renew its air shipping contract with e-commerce giant Amazon.

Amazon’s FedEx Express contract is in question, which according to Amazon is used for air transportation of packages and is not used for last-mile and ground deliveries, The Verge reported on Friday.

“FedEx has made the strategic decision to not renew the FedEx Express US domestic contract with Amazon.com as we focus on serving the broader e-commerce market,” Carl Quintanilla, CNBC Journalist tweeted a screenshot of FedEx’s statement.

“The decision does not impact any existing contracts between Amazon and other FedEx business units or relating to international services,” the statement added.

Amazon is not FedEx’s largest customer and only 1.3 per cent of the total revenue generated by the global courier company in 2018 was attributed to Amazon.com.

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Stijn Vanveerdeghem, left, an engineer with Cisco, shows graphics with live wireless traffic to FedEx employee Barry Poole during the RSA Conference in San Francisco. VOA

However, the decision did not really come as a surprise to Amazon, the report said.

The e-commerce company has invested years into building its own delivery infrastructure to cut down on logistics costs.

Currently, Amazon oversees a massive warehouse, air hub, and cargo freight logistics network in addition to its growing network of Flex personal delivery drivers, which are employed using an Uber-like contract model.

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“We respect FedEx’s decision and thank them for their role serving Amazon customers over the years,” the report quoted an Amazon spokesperson as saying.

Since FedEx has refused to transport Amazon parcels via air, it remains unclear how Amazon would be able to keep up with its recently-introduced one-day delivery program for Prime members in the US. (IANS)

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Amazon, Toshiba Announce First Budget-friendly TV with Dolby Vision

The company has continued to iterate on the Fire TV software to embrace Alexa voice controls as well

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Google , US, Alexa, Amazon, Drones, e-commerce
The logo of Amazon, online retailer is seen at the company logistics center in Lauwin-Planque, France. VOA

E-commerce giant Amazon has announced the first budget-friendly Toshiba-branded 4K TV with built-in Fire TV software and Dolby Vision.

Up until now, the Dolby Vision — which is an HDR format that offers a wider colour palette and brighter highlights — has been widely available in premium-priced smart TVs, it is still trickling down to entry-level sets.

The Toshiba set would be available in 55-inch, 43-inch and 50-inch variants for $449.99, $329.99 and $379.99 respectively, The Verge reported on Thursday. The TVs would be available exclusively on Amazon and Best Buy stores.

The news comes as Amazon prepares to open an installation at the Dolby experiential space in New York City’s Soho neighbourhood where it would showcase theatre-like viewing experience with Dolby’s audio and visual technologies on recent Fire TV hardware.

TV
Smart televisions are becoming a popular trend.

Amazon’s Fire TV has over 34 million active monthly users and the company currently includes the Stick.

The Fire TV Stick 4K supports Dolby Vision, while the Cube offers Dolby Atmos audio but not the visual side, the report added.

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The company has continued to iterate on the Fire TV software to embrace Alexa voice controls as well.

The Fire TV Edition with Dolby Vision was a necessary step for Amazon to better square off with the line-up of Roku TVs on the market like TCL, which already offers Dolby Vision output, the report noted. (IANS)