Two words: "Service Failures".
Both UPS and FDX have struggled during recent Q4s with service failures. This was part of the motivation for Amazon to handle some of their own deliveries.
But if UPS and FDX, the undisputed leaders in overnight package delivery, have troubles with dedicated, in-house crews and aircraft just what sort of trouble is Amazon gonna have with their OUTSOURCED, disgruntled, whipsawed labor problems?
Amazon: ARE YOU READING THIS?
Get it together guys. Get it TF TOGETHER.
The extra competition in this market posed by Amazon is only gonna serve to make UPS and FDX leaner and meaner. Great for the customers actually as Amazon makes Brown and Purple stronger.