Amazon May End US Postal Service Partnership to Expand Own Delivery Network

Dec 4, 2025

Amazon is reportedly considering ending its long-running contract with the United States Postal Service (USPS). This change would allow Amazon to rely more on its own growing nationwide delivery network.

The contract between Amazon and the USPS is set to expire in October 2026. If Amazon moves ahead with this plan, it could become the largest delivery service in the United States, putting it in direct competition with USPS, UPS, and FedEx.

Amazon has been strengthening its delivery capabilities by investing in new fulfillment centers and delivery stations. This potential move would impact both Amazon’s delivery operations and the financial health of the USPS.

Why is Amazon considering ending its partnership with USPS?

Amazon has built a large delivery network of its own and may want to rely less on external partners like USPS.

When could this change happen?

The current contract between Amazon and the USPS expires in October 2026, so any change would likely happen after that.

How might this affect USPS?

Losing Amazon as a client could hurt USPS's finances because Amazon is a major customer.

Will Amazon deliver all its own packages?

If Amazon ends its USPS partnership, it would deliver more of its packages itself through its own expanding network.

Sources
Amazon explores cutting ties with USPS, Washington Post reports
Reuters
Amazon is preparing to expand its nationwide delivery network and give up its long-standing partnership with the U.S. Postal Service, the Washington Post reported on Thursday, citing three people with knowledge of the matter.
Amazon Considers Parting Ways With US Postal Service
PYMNTS
Amazon is reportedly preparing to cut ties with the U.S. Postal Service. The move would make Amazon the country's most ubiquitous delivery service and present a blow to the Postal Service's financial health, The Washington Post reported Thursday (Dec. 4).
Amazon reportedly considering dropping USPS and building a competing postal serv...
TechCrunch
Amazon is considering ending from its long-standing contract with the United States Postal Service and building out its own competing nationwide delivery network, according to the Washington Post.
Amazon's growing clout in US shipping market
Reuters
Amazon's investments in new fulfillment centers and delivery stations have gradually cemented the online giant's position as a key player in the nearly $193 billion U.S. parcel industry, long dominated by UPS , FedEx , and the U.S. Postal Service.
Amazon reportedly weighs ending USPS partnership
Proactive Investors
Amazon.com Inc (NASDAQ:AMZN) is considering ending its decades-long contract with the United States Postal Service (USPS) and building out its own nationwide delivery network, according to a report from The Washington Post. The current agreement between the eCommerce giant and the USPS is set to exp...
Amazon Cutting USPS Ties? Analyzing AMZN Price Action & Options Activity
Schwab Network
Reports say Amazon (AMZN) may consider ditching its partnership with the United States Postal Service in favor of building its own postal service. Alex Coffey talks about this headline and other will impact price action as the stock remains fairly flat year-over-year.
Show All Sources
Related Posts
Other News
Back to Top