Amazon Reportedly Aims to Handle Rural Deliveries With a "Wagon Wheel"

Amazon (NASDAQ: AMZN) may be considering greatly reducing or eliminating its reliance on the United States Postal Service (USPS) for its rural deliveries, according to reports on Monday by the website The Information and other outlets. Amazon's plan to handle its own rural deliveries directly would reportedly be named Wagon Wheel, after the hub-and-spokes arrangement it envisions.

Some sources say the company is looking to entirely eliminate the USPS from its delivery process with the new program. Up to this point, the Postal Service has been a major element of Amazon's network, providing last-mile delivery for approximately 1.54 billion parcels, or 30% of its package shipments in 2019, according to reporting by Android Headlines. Amazon paid the USPS almost $4 billion for those deliveries.

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Source Fool.com