On Tuesday, the 11th of June 2019, world’s No. 1 e-commerce giant, billionaire Jeff Bezos’ Amazon.com Inc. had issued a statement saying that it would shut down its US restaurant food delivery service from June 24th, after failing to grapple with an intensely competitive market involving DoorDash, GrubHub Inc., and Uber Technologies’ Uber Eats service.
Adding that the dashed jobs resulted from Amazon.com Inc.’s latest decision of ceasing restaurant delivery service in United States would be proffered with new roles within the company, Amazon said in a Tuesday’s (June 11th) statement, “A small fraction of Amazon employees are affected by this decision, and many of those affected have already found new roles at Amazon.
Employees will be offered personalized support to find a new role within, or outside of, the company”. In point of fact, Amazon’s restaurant delivery service was launched back in 2015 in Seattle and had been architected to offer prime members cheaper way to order meals alongside foods and groceries.
Followed by the launch of the e-commerce titans’ restaurant delivery service, it spread wings in to more than 20 US cities and then to London, where it ended its restaurant delivery service on last November. Despite a bumpy ride on US soil, Amazon has still been ambitious food delivery service, as on last month, the company had purchased a stake of British online food delivery company, Deliveroo, which eventually led to a fundraising of $575 million.
Nonetheless, followed by the reveal of the news, Amazon.com Inc.’s largest restaurant delivery service rival on United States, GrubHub’s share price climbed 8.6 percent on Tuesday’s (June 12th) market wrap-up.