Amazon's CEO Jeff Bezos has put his focus on the automobile industry. He told his employees recently that he is "very excited" about the technological evolution currently happening within the vehicle market.
“If you think about the auto industry right now, there’s so many things going on with Uber-ization, electrification, the connected car — so it’s a fascinating industry,” Bezos reportedly said at an all-hands meeting. “It’s going to be something very interesting to watch and participate in, and I’m very excited about that whole industry.”
These statements come on the heels of Amazon investing in two startups. First was a $700 million investment into the electric truck company Rivian, and the second was into the autonomous driving company Aurora.
These investments and this focus on new vehicle technologies might be one way for Amazon to reduce their $9 billion shipping cost during the final quarter of 2018. Even with these costs of shipping rising, the company isn't cutting any corners and even recently introduced one day shipping into their Amazon Prime benefits.
One of Amazon's biggest focuses is taking on their delivery costs. The company recently started up a new program to team with smaller delivery companies that have fleets of 30 or so vehicles and offered to pay Amazon employees to join with the program.
The retail company is also conducting a trial with their autonomous robot called the Scout which would be able to deliver packages and freight service instead of the usual truckers or drivers.
Amazon might also see view new auto technology as a new consumer retail opportunity. They are already trying to put their voice assistant Alexa and their smart speaker device Echo into more vehicles through partnerships.