How Much Did Amazon Spend on Shipping When Prime Moved Toward One-day Delivery?
About $7.3 billion in a single quarter, before an even larger bill. On GeekWire, reporter Nat Levy tells Todd Bishop that in the first quarter of 2019 Amazon spent roughly $7.3 billion on shipping alone. Amazon's finance chief had just said Prime's free two-day shipping would become free one-day shipping, and guidance included about $800 million of extra spending for that change in the next quarter. Levy says $800 million was more than 10 percent of the prior quarter's shipping cost. He also notes Amazon Web Services produced $2.2 billion of operating income that quarter, about half the company's earnings.
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