Amazon takes another big step to control its own delivery logistics

The e-commerce giant has entered into an agreement with Atlas Air Worldwide Holdings for Atlas to operate 20 Boeing Co. cargo planes for Amazon. Atlas Air will operate the 20 converted freighters for Amazon on leases from seven to 10 years.



“We are excited to welcome a great provider, Atlas Air, to support package delivery to the rapidly growing number of Prime members who love ultra-fast delivery, great prices and vast selection from Amazon,” said Dave Clark, Amazon’s senior VP of worldwide operations.



The deal also granted Amazon rights to acquire up to a 30% stake in Atlas.



It is Amazon’s second investment in an air freight company in less than three months. In March, the retailer entered into a similar agreement to lease 20 jets from Air Transport Services Group, with the right to acquire nearly a one-fifth stake in the company.



The agreements are just the latest sign of Amazon’s intent to go big in logistics, as its rapidly-expanding shipment needs exceed the capacity of traditional carriers, the Seattle Times said.



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