Raj Subramaniam emphasized that Amazon Logistics currently accounts for under 2% of total U.S. parcel volume, arguing its limited network density prevents a credible challenge to established carriers. He noted ongoing investments in capacity and technology designed to sustain service levels facing rising e-commerce demand.

Subramaniam’s comments underscore a competitive environment where scale and infrastructure investments are decisive. UPS may view this as validation of its own network expansion strategy while tracking Amazon’s incremental growth in third-party delivery services.