Auto Service World
News   March 22, 2024   by Adam Malik

Amazon stepping up its mobility game


Image credit: Depositphotos.com

Amazon has its eyes set on mobility as a key growth area and it’s looking to expand what’s possible when moving goods, which could have implications for the automotive aftermarket.

As the digital retailer sets its goal of being the “everything store” for consumers, it’s looking beyond everyday consumer items, noted Lang Marketing in a recent report.

“Few areas of consumers’ future spending will be larger or more significant than the mobility market,” it said in its Aftermarket iReport, Amazon Revs Up to Dominate Mobility.

To reach its goal, Amazon is expanding its mobility footprint through acquisitions, key partnerships and locking in on its existing cyber capabilities.

Lang noted how Amazon has developed key relationships across a wide range of mobility technologies.

“Although it has reduced its investment in Rivian, the electric truck maker, Amazon’s intention to have 100,000 electric delivery trucks on the road by 2030 significantly influences all companies’ development of electric delivery trucks,” the report said.

“Amazon operates the country’s most extensive delivery system, leaving FedEx and UPS in its dust and giving it unprecedented influence in developing these electric units through the end of the decade and beyond.”

The Amazon Web Service is a major digital service. It helps Amazon connect with countless mobility companies and their emerging technologies.

“In the coming years, AWS will be a central cyber foundation on which the entire mobility industry is based, particularly in terms of its computing power, cloud-based capabilities, and other evolving cyber capabilities,” Lang’s report said.

Looking at autonomous, Amazon has acquired companies like Zoox and Aurora to help bolter the capabilities of using the technology.

“A key application of driverless technology by Amazon could be its own massive delivery fleet,” Lang said. “Replacing drivers with AV technology (although probably many years away) provides Amazon with a strong incentive to move AV technology forward as quickly as possible.”

Amazon and Rivian had an agreement to give the web giant exclusive order rights for Rivian’s electric delivery trucks but that is no more. That doesn’t mean Amazon isn’t going to electrify its fleet, though.

“Amazon plans to have 100,000 electric delivery trucks on the road by 2030,” Lang reported. “This provides Amazon with great influence over the development of electric delivery trucks by all companies.”

The aftermarket could be impacted by all of these plans from Amazon. As these long-range mobility capabilities are developed, it can focus on the present mobility needs of consumers by expanding its footprint in the automotive parts and repair sector.

“Auto parts and repair, particularly in [online-to-offline] transactions, are a natural bridge that could enable Amazon to reach its long-term mobility goals involving autonomous vehicles, electric vehicles and mobility as a service,” Lang said.


Print this page

Related


Have your say:

Your email address will not be published. Required fields are marked *

*