U.S. package delivery company FedEx Corp will terminate its contract at the end of this month for small-package ground deliveries with Amazon.com Inc, Bloomberg reported on Wednesday.
The move comes two months after FedEx decided not to renew its contract with Amazon for U.S. cargo delivery through its plane-based express service.
Amazon has been building out its own delivery network of planes, trucks and vans and is seen posing a potential long-term challenge to FedEx and rival United Parcel Service Inc, both of which have long counted the e-commerce company as a major customer.
FedEx and Amazon were not immediately available for comment.
(Reporting by Ankit Ajmera in Bengaluru; editing by Patrick Graham) ((email@example.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 3067;))