Amazon, after more than three decades of collaboration, may soon part ways with the United States Postal Service (USPS) as it explores expanding its own delivery capabilities. This development was highlighted by The Washington Post, a publication owned by Amazon’s founder, Jeff Bezos. The report, based on insights from anonymous sources, suggests that negotiations between Amazon and Trump-era USPS Postmaster General David Steiner have hit a standstill. This impasse has prompted Amazon to contemplate ending the longstanding partnership.

Journalist Jacob Bogage from the Washington Post shared on Bluesky that this potential split was not Amazon’s initial intention. The company had hoped to continue its agreement with the USPS, which is due to expire on October 1, 2026. However, the USPS’s decision to auction off last-mile delivery contracts has complicated matters.

In a statement to The Verge, Amazon’s spokesperson Steve Kelly expressed the company’s desire to continue its collaboration with the USPS, emphasizing their intent to increase spending with the Postal Service. “We look forward to hearing more from them soon – with the goal of extending our relationship that started more than 30 years ago,” Kelly stated.

While a definitive decision to sever ties with the USPS hasn’t been made, Amazon is considering bolstering its own delivery network if no agreement is reached. The USPS, which Amazon describes as its “first and oldest business partner,” received $6 billion in revenue from Amazon in 2025, accounting for about 7.5% of USPS’s total revenue.

Should Amazon proceed with its independent delivery network, it could soon rival the Postal Service. In 2024, Amazon managed 6.3 billion parcels, trailing only the USPS’s 6.9 billion. According to projections by Pitney Bowes, Amazon might surpass the USPS by 2028, potentially handling 8.4 billion packages compared to an estimated 8.3 billion by the USPS.

Amazon spokesperson Steve Kelly:

“The USPS is a longstanding and trusted partner and we remain committed to working together. We’ve continued to discuss ways to extend our partnership that would increase our spend with them, and we look forward to hearing more from them soon – with the goal of extending our relationship that started more than 30 years ago. We were surprised to hear they want to run an auction after nearly a year of negotiations, so we still have a lot to work through. Given the change of direction and the uncertainty it adds to our delivery network, we’re evaluating all of our options that would ensure we can continue to deliver for our customers.”