By Connor Hart

Amazon.com has added FedEx as a partner to deliver select large packages to homes for the online retailer, as the two companies find more ways to do business together after a previous split.

"We've reached an agreement with FedEx to serve as one of several third-party partners to deliver packages to our customers," Amazon spokesman Steve Kelly said Monday.

He added that the Memphis, Tenn., company will join other third-party partners including United Parcel Service and the U.S. Postal Service that regularly work alongside Amazon's last-mile delivery network to balance capacity.

Terms of the deal weren't disclosed. FedEx described the partnership as a mutually beneficial, multi-year agreement.

Amazon and FedEx have explored doing more business with each other in recent years, following the companies' high-profile split in 2019.

The partnership between Amazon and FedEx comes after UPS earlier this year said it plans to phase out more than half of the business it does with the online retailer over the next 18 months. Amazon accounted for about 12% of UPS's revenue last year, or about $1.07 billion.

The move resulted in UPS last month disclosing plans to slash expenses, including the elimination of about 20,000 operational positions and closing more than 70 leased and owned buildings.

The FedEx deal is not meant to replace Amazon's prior deal with UPS, and any claims to the contrary are incorrect, Amazon said. More than two-thirds of Amazon packages are delivered via Amazon's own logistics network in the U.S., according to the company.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

May 12, 2025 17:59 ET (21:59 GMT)

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