USPS risks $6B Amazon deal by opening network to rivals

by | Dec 26, 2025 | E-commerce News

The USPS plans to auction access to its distribution centers to additional shippers, a move designed to stem $9 billion in annual losses but one that jeopardizes its critical $6 billion relationship with Amazon. Amazon expressed “surprise” at the decision to pivot to an open bidding model after nearly a year of exclusive extension talks, warning it is now “evaluating all options” for its delivery network. The agency argues the shift is necessary as it faces a potential liquidity crisis within 12 to 24 months, attempting to diversify revenue even as volume for its largest customer remains essential to funding universal service obligations.

Paul Drecksler is the founder and editor of Shopifreaks E-commerce Newsletter, covering the most important stories in e-commerce.

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