FedEx is loosening its ties with Amazon. The courier announced today that it would no longer be providing domestic express shipping for the e-tail giant. Existing agreements for international shipments won’t be affected.

FedEx points out that the loss of business should be negligible, as Amazon doesn’t rank all that high compared to its other customers. “The percentage of total FedEx revenue attributable to Amazon.com represented less than 1.3 percent of total FedEx revenue for the 12-month period ended December 31, 2018.”

There is significant demand and opportunity for growth in e-commerce which is expected to grow from 50 million to 100 million packages a day in the U.S. by 2026. FedEx has already built out the network and capacity to serve thousands of retailers in the e-commerce space. We are excited about the future of e-commerce and our role as a leader in it.

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