Twitter
Advertisement

Amazon mulls purchase of German airport to boost international operations

This is one of Amazon’s efforts to build a full-fledged logistics and freight transportation service.

Latest News
article-main
Amazon looks to expand its logistics services; wants to ensure one-two day deliveries across the US.
FacebookTwitterWhatsappLinkedin

Retail giant, Amazon is keen on buying a loss-making airport in western Germany which will help serve as an international hub for the company's delivery operations to Europe, a Business Insider report has said.

According to Business Insider, Amazon has held talks with the Hanh airport in Western Germany. The report quotes logistics industry website Lloyd's Loading List which quoted the German daily Sueddeutsche Zeitung indicating discussions between Amazon and the airport. However, much details about the nature of the talks were unclear. It, however, pointed out that there were three acquisition offers from unnamed parties and contracts may be signed soon.

Amazon has been vying deals to strengthen the plan of operating its own fleet of delivery airplanes. The plan here for the online giant is to stop relying on third-party freight operators for the delivery of their products and also ensure one- and two-day deliveries in the US. 

Amazon wants to build a full-fledged logistics and freight transportation services which can go up against the likes of third-party shippers like FedEx and UPS, the report said. In March 2016, Amazon had signed a deal to lease 20 Boeing 767 wide-body freighter aircraft in order to ensure one- and two-day deliveries in the US.

Buying an airport may help Amazon boost its service across Europe. 

A Bloomberg report in February 2016 which revealed internal documents of the retailer had suggested that Amazon had chalked out a plan and that "Sellers will no longer book with DHL, UPS, or FedEx but will book directly with Amazon."

Amazon's CFO in the company's recent earnings conference call said that Amazon plans to supplement existing shippers and not to replace them with its in-house delivery network.

Business Insider report says that a direct request to comment was not returned by Amazon. 

Find your daily dose of news & explainers in your WhatsApp. Stay updated, Stay informed-  Follow DNA on WhatsApp.
Advertisement

Live tv

Advertisement
Advertisement