Amazon Opens Logistics Network to Rivals as Kuiper Wins FCC Concession

Amazon launches for-hire logistics service, gets FCC waiver for Kuiper satellite after rocket explosion, and introduces AI robots; stock falls 8% in tech sell-off.

Amazon is pressing ahead on two very different fronts. On the one hand, it is transforming its enormous fulfilment infrastructure into a for?hire logistics service, directly challenging established parcel carriers. On the other, it has secured a critical regulatory reprieve for its satellite internet project, Kuiper, buying time after a rocket explosion threatened its launch schedule. Yet the stock ended the week lower, caught in a broader tech sell?off that has wiped out nearly 8% of its value in seven days.

Logistics goes commercial

The company has quietly launched “Amazon Supply Chain Services”, a suite that bundles freight, warehousing, distribution and last?mile delivery for external customers. Until now Amazon used its network of more than 185 US fulfilment centres almost exclusively to power one?day Prime deliveries. By renting out that capacity to other businesses, the group unlocks a fresh revenue stream while improving asset utilisation.

The move turns Amazon into a direct competitor to logistics heavyweights such as UPS and DHL, at least in North America. Automation, data analytics and continuous process optimisation – all honed inside Amazon’s own supply chain – will now be marketed as a service. The new division is the latest piece in a diversification strategy that already includes AWS, advertising and subscription revenue.

Kuiper’s new clock

Project Kuiper, Amazon’s planned 3,232?satellite constellation, received a partial waiver from the Federal Communications Commission. The original deadline required the company to have half of those satellites in orbit by 30 July 2026. That deadline remains, but satellites launched after it will temporarily lose priority in the frequency spectrum until the 50% milestone is reached or until 30 March 2028, whichever comes first.

Currently about 331 Kuiper satellites are circling the Earth. The next major launch is scheduled for this month aboard an Ariane 6 rocket from French Guiana, carrying 36 satellites. The waiver came after a Blue Origin rocket explosion at Cape Canaveral threw part of the timeline into disarray. The FCC decision eases the pressure but does not fully solve the operational challenge – a failed Ariane flight would quickly bring the deadline back into focus.

AI moves into the warehouse

Meanwhile, Amazon is betting on artificial intelligence to make its own logistics more efficient. On 5 June the company unveiled the next generation of its autonomous robot Proteus in London. The machine now understands natural language commands, eliminating the need for complex programming by warehouse staff. It can haul loads of up to 400 kilograms and is already operating in 25 US fulfilment centres.

European deployment is expected in the first half of 2027, backed by a €10 billion investment in the region’s logistics infrastructure. The automation push is politically sensitive: Amazon cut 14,000 jobs in October and a further 16,000 in January. The company argues that robotics has historically coincided with higher headcount – since acquiring Kiva Systems in 2012 it has deployed more than 750,000 robots while its logistics workforce grew from 125,000 to over 1.5 million. In Europe, Amazon has promised 25,000 new jobs alongside the robot rollout.

Stock under pressure

The shares closed the week at €213.70, down 2.31% on Friday and 7.89% over the five sessions. That left the stock below its 50?day moving average of €215.18, though it remains above the 100?day (€201.37) and 200?day (€199.17) averages. The 52?week high of €238.05 was reached in early May. The relative strength index of 39.6 points to fading momentum, though the stock is still up 10.54% year?to?date and 17.56% over twelve months.

Institutional interest remains robust. Bill Ackman’s Pershing Square recently added 1.8 million Amazon shares, making the e?commerce giant one of its larger positions. Another potential catalyst sits within Amazon’s stake in Anthropic, the AI start?up that has confidentially filed for an initial public offering. Amazon’s investment generated a pre?tax gain of $16.8 billion in the first quarter; an IPO would make that holding’s value more transparent to the market.

What’s next

The coming weeks will test both Amazon’s operational execution and market sentiment. The Ariane 6 launch, if successful, buys Kuiper crucial breathing room. A tenth?day Prime promotion with Little Caesars provides a near?term demand driver. And the logistics?as?a?service pivot could start to draw attention from analysts looking for margin expansion beyond the core retail business. For now, however, the stock remains hostage to the broader tech narrative – and the clock is still ticking on Kuiper’s 2026 deadline.