Amazon to open 1,000 warehouses in the suburbs

E-commerce giant doubles down on fast-delivery efforts

TRD NATIONAL /
Sep.September 16, 2020 09:45 AM
Amazon CEO Jeff Bezos (Getty; Unsplash)

Amazon CEO Jeff Bezos (Getty; Unsplash)

Amazon is moving to the ’burbs.

The e-commerce giant plans to open 1,000 warehouses in suburbs and cities across the U.S., according to Bloomberg. The expansion will allow the company to quicken deliveries as it competes with rivals such as Walmart.

Although other efforts, such as hiring 175,000 new workers, have already sped up Amazon shipments, the company is now attempting to focus on proximity, adding warehouses and vans for faster delivery.

The strategy is exemplified in Holyoke, Massachusetts, where a fulfillment center is located not far from a once vibrant mall, and a short drive from more than 600,000 people, Bloomberg noted.

It’s also been reported that Amazon will soon creep its way into malls themselves. The company has been rumored to be in talks with Simon Property Group to take over the empty boxes of bankrupt retailers.

In the second quarter, the company invested more than $9 billion in capital projects, including fulfillment centers, transportation and Amazon Web Services. In its latest earnings call, Amazon said it would increase its fulfillment center square footage by 50 percent this year. [Bloomberg] — Sasha Jones


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