Amazon is reportedly considering abandoning the US Postal Service (USPS) and building a competing postal service

Amazon is considering ending its long-term contract with the US Postal Service and building its own competing nationwide delivery network, according to the British newspaper “Daily Mail”. The Washington Post.

The current agreement between the e-commerce giant and USPS expires in October 2026. The two sides have spent months negotiating what the next version of the contract will look like, but those negotiations have been complicated by President Trump’s push to privatize USPS, The Post reported.

Under the current agreement, Amazon pays USPS billions of dollars annually to distribute packages, representing about 7.5% of the agency’s revenue in 2025.

Amazon already operates a large transportation network that includes planes, Rivian electric trucks, and a drone delivery service — though the drone program has faced a number of difficulties this year, including recently, FAA investigation. It is also developing autonomous vehicles through its subsidiary Zoox.