this post was submitted on 13 Jun 2026
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[–] ryannathans@aussie.zone 0 points 12 hours ago (1 children)

Isn't Amazon shopping run at a loss, subsidised by AWS?

[–] XLE@piefed.social 1 points 10 hours ago (1 children)

I did not downvote, but big if true. I can see it going the other way too, though, especially because Amazon is really good at overworking and mistreating its employees, and forcing the postal services to do the stuff they don't want to spend the money to do themselves.

[–] ryannathans@aussie.zone 3 points 8 hours ago* (last edited 8 hours ago)

"We believe the financials support the view that AMZN uses its eCommerce business as a loss-leader," she said.

https://finance.yahoo.com/news/amazon-e-commerce-loss-leader-100629983.html

Critics argue that Amazon’s retail business actually operates at razor thin margins or even at a loss when you separate it from the high-margin cloud computing and advertising businesses. Amazon’s retail operation has massive costs associated with operating fulfillment centers, paying employees, shipping products, and storing inventory. The company is also aggressive about minimizing prices to beat competitors. Amazon prioritizes gaining market share and growing revenue over retail profit margins. The retail business is used almost as a loss leader to attract customers to the Amazon ecosystem.

https://www.restonyc.com/does-amazon-run-at-a-loss/