Prime Allied Limited - Amazon's Cloud Playbook Is Making Its Way into Shipping

CENTRAL, Hong Kong - Oct. 4, 2023 - PRLog -- The e-commerce behemoth unveiled the Supply Chain by Amazon program on Tuesday, just days before its annual sellers conference. The service, according to Amazon, would "quickly and reliably move products from manufacturing locations to customers around the world."

The service is an outgrowth of Amazon Fulfillment, which the e-commerce behemoth established in 2006. Amazon uses this service to store, pack, and ship items for third-party merchants that utilize its platform.

Now, the corporation is stepping in early and purchasing items directly from producers all around the globe. Amazon also said that machine learning may be used to assist manage inventories and keep items supplied.

Using the AWS Playbook

Today's stock market closing for Amazon was 144.85, up 2.6%.

According to one expert, the service is Amazon's latest move in providing broad logistical capabilities to enterprises. That company might someday be akin to the cloud-computing services provided by Amazon Web Services.

"Slowly but surely, Amazon is replicating the AWS playbook by broadening the availability of its fulfillment network," Wedbush analyst Scott Devitt said in a client note Tuesday.

Several Amazon stock analysts have recently highlighted the company's logistics network as a reason its shares may be undervalued. Amazon's fulfillment system currently encompasses over 541 million square feet.

"Amazon is well positioned to broaden the availability of its services to multichannel sellers and non-Amazon merchants," Devitt said.

Prime Allied Limited (https://prime-allied.com) provides asset management and financial consulting. Prime Allied Limited works with you to create a financial strategy that allows you to actively build, conserve, and diversify your assets.