Amazon is shutting down its Prime Air drone delivery program in California after two years as the retail giant moves operations to Arizona and more profitable markets.
In a press release on Monday, Amazon announced that it will start its "Same-Day" delivery on Tolleson, Arizona by the end of the year.
(Photo : Jason Redmond/AFP via Getty Images)
The move comes in as the retailer targets to reach the "large metro areas" businesses and establishments serve in Tolleson.
This will be in addition to its already existing operations in College Station, Texas, which it plans to expand into other parts of the state starting in 2025.
Amazon is currently trying to receive approval from the US Federal Aviation Agency to complete its preparations for Arizona and Texas.
As for the California branch, Amazon did not provide much information for the closure other than that it seemed that there would be more "opportunities at other sites."
Amazon first launched its Prime Air delivery program in 2022 at College Station and Lockforde, California as part of its efforts of "using robot motion to provide value to customers and communities."
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Amazon Ditches Tech Operations Across Business Divisions
The Prime Air operation on Lockforde was not the first tech program Amazon has shuttered down this year, nor it will be the last.
The retail giant earlier announced that it would be phasing out its smart grocery carts and "Just Walk Out" system just a few years after they first launched.
Amazon has also conducted several layoffs in its Amazon Web Service division as it intends to refocus commitments to its cloud-based services amid increasing competition in the AI market.
The closing of the operations coincides with the retailer announcing plans to cut down costs across its multitude of businesses amid bigger expenses during last year's operations.
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Amazon to Go Green on Arizona, Texas
While it is not clear why Amazon has started moving its Prime Air program from California, there is enough indicators as to why it decided to shift focus to Arizona.
In the same press release statement, Phoenix Mayor Kate Gallego said that the arrival of Prime Air to Arizona boosts the state's commitments to reduce local pollution and further cement our city as a hotbed for the innovative technology of tomorrow."
Other than California, Arizona and Texas have been among the states given priority by the administration to convert to cleaner energy as carbon-free transportation businesses move operations to the states to secure the growing demand.
It is worth noting that Amazon reportedly contributed to 71.54 million metric tons of carbon dioxide equivalent in 2021.
The numbers may even be higher as the company is found not including carbon footprints from deliveries made by buying products from manufacturers directly to customers in the previous year's report.
