Forget the drones, Amazon preps its own cargo container ship operation out of China
Wow, beat that, Docker
Amazon may well launch a maritime shipping operation that will allow the retail giant to ferry tons of cargo.
The registration, says Peterson, will allow Amazon to ship freight cargo by boat and would allow the company to provide commercial services to clients, moving tons of cargo from China to the US and providing a direct line from manufacturers to Amazon's retail operations.
"Chinese suppliers would love direct access to Amazon’s vast American customer base. But the idea of buying ocean freight is far less appealing for US companies selling on the Amazon Marketplace," Peterson explained.
"As the freight forwarder on a company’s shipments, Amazon would see both the name of the supplier and the wholesale price paid by the importer. For most of the more than 40,000 sellers currently earning over $1 million per year selling products on Amazon, this data is too sensitive to entrust with a company that is both a primary distribution channel and a ruthless competitor."
Peterson believes that when armed with its own freight shipping operation, Amazon could dramatically reduce the cost of shipping cargo overseas by not only controlling the shipping vessels, but linking them up with its warehouse and shipping infrastructure, using Amazon's own software to automate and streamline the entire process.
"If we’ve learned anything from Amazon’s strategic playbook over the last two decades, we can expect that it will price freight as close to marginal costs as it can get," Peterson said.
"With the integration of its worldwide network of fulfillment centers and the combination of its new fleet of cargo jets, Amazon will be able to build a world class logistics platform for small and medium sized Chinese businesses."
When we asked of the filing, an Amazon spokesperson had "nothing more to share" on the matter. ®