Amazon will invest US $ 1.49 billion in logistics center in the USA

Amazon will invest US $ 1.49 billion in logistics center in the USA SAN FRANCISCO (Reuters) - Amazon.com plans to invest $ 1.49 billion in the construction of an air cargo logistics center in the United States, US officials said. The announcement fueled speculation the company may one day compete directly with the FedEx and UPS giants. The world's largest online retailer has signed a 50-year contract involving a 900-acre site at an international airport in northern Kentucky near major global cargo hubs. Amazon is shipping more orders to customers, betting on strategy to reduce costs and reduce uncertainties related to hiring outsourced services. The company states that its actions are complementary, not replacement of cargo carriers. Analysts, however, suspect bigger ambitions. "We estimate an opportunity of more than $ 400 billion for Amazon in logistics contracts," said Colin Sebastian, an analyst at Baird Equity Research. (By Jeffrey Dastin)