True, but UPS plans to cut about 50% of its deliveries for Amazon in 2026 because of low profits.
Some of their stuff are their own but some are contracted out to companies who have a half dozen vehicles. They’re the ones who tend to rent Penske etc to add new routes.
Amazon provides branded vans and rentals through Amazon’s fleet program. These vehicles are leased to DSP (Delivery Service Partners) owners and come equipped with safety features and integrated delivery technology.
Amazon partners with DSPs to handle leasing, maintenance, and collision management for vehicles Along with vans, DSPs receive Amazon uniforms and handheld devices for routing and package scanning.
DSPs pay a monthly fee for vehicle use that covers only leasing and fleet services. They’re responsible for costs like fuel, parking or toll violations, and other expenses, including but not limited to vehicle damage and liability.
DSPs, hire drivers, handle route management, and take care of all operating costs. Most DSPs handle around 20 to 40 drivers, though some start with just 10 to 15, often covering limited routes in rural areas. In busy metro regions, they typically employ anywhere from 50 to over 100 drivers.
Since its launch in 2018, the DSP program has expanded to include more than 4,500 small business owners across the globe, together employing tens of thousands of drivers.
In 2018, I was offered a chance to join the DSP program with a startup running 50 vans. After wrestling with the details, I decided to pass. I just couldn’t justify paying drivers so little for doing so much.
I can’t share more details because of a confidentiality agreement I signed just to review the offer. Everything I’ve shared has been reviewed with Microsoft’s AI Copilot, and it’s all available online.