Amazon Invests $1.9 Billion in Delivery Service Partner Program for 2027
Amazon (164news.com's guide to amazon) is putting an additional $1.9 billion into its Delivery Service Partner (DSP) program for 2027, aiming to boost driver pay across the nation. The company anticipates that this investment will elevate driver wages to a national average of nearly $24 per hour.
Key Highlights:
- Driver Pay: Amazon does not employ or set wages for DSP drivers but expects partners to lift driver pay to this average.
- Safety Improvements: Serious crashes dropped by over 23% last year, attributing this to safety investments exceeding $543 million since 2022.
- Wellspring AI: Amazon's generative AI mapping system, Wellspring, has identified millions of parking spots, building entrances, and delivery points, enhancing route optimization.
- Coaching with AI: Advanced AI is being used to predict driving patterns indicative of potential crashes, providing coaching to DSP owners for early intervention.
Amazon made a similar claim in 2024, stating that its in-vehicle camera technology reduced accident rates by 48% across the US network since its introduction in 2020.
The company's annual DSP conference, Ignite Live, held in Las Vegas, marked the announcement of this latest investment. Amazon emphasizes that specific pay levels will vary based on DSPs' individual decisions and geographic locations.