Amazon launches Amazon Supply Chain Services to open logistics network to third-party enterprises

Amazon has officially launched Amazon Supply Chain Services (ASCS), a new initiative designed to open its vast global logistics network to third-party businesses of all sizes. The service enables external companies to utilise Amazon's infrastructure for storing, shipping, and delivering products, directly positioning the e-commerce giant as a competitor to established logistics providers such as DHL, UPS, and FedEx.

By offering freight, distribution, fulfillment, and parcel shipping, ASCS expands upon a preliminary Supply Chain service introduced in 2023. While the earlier iteration allowed companies to ship products directly from factories, the new programme enables businesses to store inventory at Amazon's global fulfillment centres and leverage its extensive fleet of trucks, aircraft, and delivery vehicles. This evolution targets a diverse range of industries, including automotive, healthcare, electronics, apparel, and food.

The launch represents a significant strategic pivot for the company, transforming infrastructure historically used exclusively by thousands of independent third-party sellers into a broader commercial offering for external enterprise clients. This move mirrors a model Amazon established in 2006 when it began offering its web infrastructure to third-party businesses, now replicating that success with its physical logistics network.

Early adopters have already confirmed their participation in the new programme, with major corporations including Proctor & Gamble, 3M, Lands' End, and American Eagle Outfitters among the first to sign up. These partnerships signal immediate interest from large enterprises seeking to leverage Amazon's extensive network for their own operational needs.

Peter Larsen, vice president of ASCS, stated that the launch aims to provide other businesses with the same cost efficiency, reliability, and speed built for Amazon customers. In doing so, he drew a parallel to the success of Amazon Web Services (AWS), suggesting that the company is confident it can give any other business access to the same operational advantages it has cultivated for its own shoppers.

The initiative underscores Amazon's long-term strategy of reducing its reliance on the US Postal Service and traditional couriers for its own deliveries. As the service rolls out, the specific pricing models and service level agreements for ASCS have not been detailed in current reporting, though the focus remains on monetising the existing logistics network for external clients.