Amazon Dips as $3 Billion Investment Boosts India Quick Commerce Ambitions
E-commerce giant Amazon has retreated in pre-market trading due to reports of its $3 billion investment in India's quick commerce business. The move is aimed at expanding its presence in the country and taking on domestic rivals, including Walmart-owned Flipkart.
The company plans to invest $1 billion in the sector by 2027 and another $2 billion by 2030. According to a Reuters article, Amazon's quick commerce business has crossed $1 billion in annualized gross sales over the past three months, making it the fastest-growing e-commerce business in Amazon India's history.
The quick commerce sector is currently valued at $19 billion and is expected to more than double in size to $41 billion by 2030. Key players in this space include Blinkit and Swiggy, which deliver groceries and electronics within minutes of ordering.