Why Is Amazon Air Expanding When Other Airlines Are Faltering?

Why Is Amazon Air Expanding When Other Airlines Are Faltering?

As airlines feel the pinch of the coronavirus pandemic with sharp travel declines, one air carrier is expanding its operation thanks to the help of Amazon (AMZN).

Air Transport Services Group, the partner carrier for the e-commerce giant, will add six more aircraft to the Amazon Air fleet, which will be operated by its subsidiary, Airborne Global Solutions.

The aircraft – six Boeing 767 airplanes – are part of a commitment by Amazon for 12 planes that it agreed to lease by the end of 2021. The aircraft leases will continue for 10-year terms.

Air Transport Services Group said it expects to operate a total of 38 Boeing 767 aircraft for Amazon Air by April 2021. Thirty-six of the planes will be leased by Amazon Air as part of an agreement that was amended in December 2018 and will extend through March 2026 with the option to extend for another three years.


Amazon’s commitment to its air fleet has grown over recent months as the retailer looks to increase its delivery speed and flexibility. The company has seen a significant increase in sales as consumers shift toward online purchases during the pandemic.

The news that Amazon is expanding its operations comes as it announced it was hiring another 100,000 workers across the U.S. and Canada in an effort to meet the needs of online shoppers. The company has also announced new office space in Bellevue, Washington, where it will hire another 10,000 employees over the next few years.

Amazon reported a net sales increase of 40% to $88.9 billion in the second quarter of 2020, compared to $63.4 billion for the second quarter of 2019.

Shares of Amazon were trading at $3,106.02 as of 1:40 p.m. EDT on Monday, down $7.72 or 0.25%

Amazon prime Air cargo plane An Amazon Prime Air cargo plane is pictured. Photo: Business Wire