Moreover, the service is being tested via taxis in San Francisco and Los Angeles as it searches for alternative delivery methods to speed up shipping at low costs.
Amazon is shipping parcels using licensed cabs through the taxi-hailing app, Flywheel, to determine whether taxis work as a delivery method. Flywheel works by hailing cabs to distribution centers, where they pick up around ten packages bound for a similar location, at USD 5 per package. Deliveries take place in the morning to avoid traffic jam and to keep competitors from noticing the testing.
Amazon also announced a pop-up store opening in New York, which will serve as a mini warehouse.
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