&gt; Shipping is the definition of a commoditized business. Unlike AWS, for example, they will not be pioneering a new business model or technology.<p>I&#x27;m guessing it&#x27;s the one-hour-delivery thing - last year they started testing one hour delivery for popular products in a couple of pilot cities.[0]<p>Presumably they can&#x27;t do one hour delivery with a traditional model of centralised-warehouse -&gt; shipping company -&gt; shipping company&#x27;s regional hub -&gt; customer; they need an Amazon warehouse near that city, with products dispatched from there to the customer directly, or it takes too much time. Building a warehouse and dispatch operation near every major city won&#x27;t be cheap.<p>[0] <a href="http:&#x2F;&#x2F;www.bbc.co.uk&#x2F;newsbeat&#x2F;article&#x2F;33332018&#x2F;amazon-launches-one-hour-delivery-service-prime-now-in-parts-of-london" rel="nofollow">http:&#x2F;&#x2F;www.bbc.co.uk&#x2F;newsbeat&#x2F;article&#x2F;33332018&#x2F;amazon-launch...</a>