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Rani Molla

Amazon drone delivery costs customers $9.99 but Amazon a lot more

So far Prime Air has delivered “thousands” of packages in sunny College Station, Texas, and Tolleson, Arizona, where it recently expanded, in less than an hour. It aims to deliver 500 million packages a year by drone in under 30 minutes in 2029, The New York Times reports.

The program costs Prime members $9.99 per delivery ($15 if you’re not a member) but likely costs Amazon a lot more, though the company didn’t specify how “deeply unprofitable” it was. Business Insider reported on internal documents in 2022 that showed the e-commerce company would lose $63 a package in 2025.

For now the program can only deliver one item at a time and only during the day. It’s noisy and the drones require 3 square meters of open space where they can hover in and drop the delivery.

The program costs Prime members $9.99 per delivery ($15 if you’re not a member) but likely costs Amazon a lot more, though the company didn’t specify how “deeply unprofitable” it was. Business Insider reported on internal documents in 2022 that showed the e-commerce company would lose $63 a package in 2025.

For now the program can only deliver one item at a time and only during the day. It’s noisy and the drones require 3 square meters of open space where they can hover in and drop the delivery.

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US-ENTERTAINMENT-ILLUSTRATION-APPLE TV+

Apple TV dropped the “plus” as streamers keep pulling back on originals

After the spray-and-pray approach led to a wave of cancellations, Hollywood is settling into an era of just making fewer shows.

business

The average price of a new vehicle in the US passed $50,000 for the first time ever in September

The average price of a new vehicle in the US surpassed $50,000 in September, according to Cox Automotive’s Kelley Blue Book.

At $50,080, that’s the highest industry average ever, reflecting the price hikes faced by new car buyers in recent years amid pandemic supply shortages, tariff-induced increases, and the high cost of EV production. The figure marks a 3.6% jump from the same month last year.

“Tariffs have introduced new cost pressure to the business, but the pricing story in September was mostly driven by the healthy mix of EVs and higher-end vehicles pushing the new-vehicle ATP into uncharted territory,” Cox executive analyst Erin Keating said. Passing the $50,000 mark was inevitable, Keating said, especially considering that the country’s bestseller is a Ford truck that “routinely costs north of $65,000.”

Year over year, new vehicle prices rose nearly 6% for GM, while Ford’s climbed 2.5%. Volkswagen new prices were up 12.5%.

As prices climb, so do delinquencies on loans to borrowers with lower credit scores. Recent data from Fitch Ratings shows the portion of subprime US auto loans 60 days or more overdue reached 6.43% in August.

business
Nia Warfield

Alibaba slides as the e-commerce giant’s cloud arm reportedly plans to slash overseas prices

Alibaba slipped more than 3% Tuesday morning following reports that its cloud unit will cut prices of select Elastic Compute Service products by up to 10.2% in overseas markets including Frankfurt, Tokyo, and Dubai.

The cuts, effective October 30, reflect the company’s push to expand its global footprint. The moves reflect a more targeted regional approach for the company as it seeks to strengthen its footprint in Europe and Asia. Alibaba Cloud made similar price cuts on international cloud products last year.

Competition is hot: Alibaba Cloud sits behind behemoths Amazon, Microsoft, and Google in the global cloud race, coming in fourth worldwide, according to data from Gartner.

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