Amazon Introduces 1-Hour Delivery, Prime Fee at $9.99 as AWS Sales Target Jumps to $600B

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Amazon launched one-hour and three-hour delivery in select U.S. cities, flagging 90,000 products with Prime members paying $9.99 for one-hour service and non-members $19.99. CEO Andy Jassy now projects AWS annual sales could hit $600 billion, double prior 10-year estimate on AI-led growth.

1. Expanded Delivery Options

Amazon launched one-hour and three-hour delivery next to more than 90,000 eligible items, including pantry staples, electronics and health products, across hundreds of U.S. locations from major metros to smaller towns. Services carry a $9.99 fee for Prime members and $19.99 for non-members on one-hour delivery, with corresponding $4.99 and $14.99 fees for three-hour options.

2. Competitive Speed Race

The faster options extend Amazon’s standard same-day service by leveraging predictive AI and local fulfillment hubs, intensifying competition with Walmart+’s sub-hour offerings and gig platforms. This move aims to capture time-sensitive shoppers willing to pay premiums for convenience.

3. AWS Billion-Dollar Outlook

CEO Andy Jassy now forecasts Amazon Web Services reaching $600 billion in annual revenue, doubling a prior 10-year target of $300 billion as AI-driven demand accelerates cloud adoption. AWS grew 20% year-over-year to $128.7 billion last year, setting a foundation for fivefold growth over the next decade.

Sources

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