FedEx CEO brushes off Amazon's new logistics service that recently sent shares tumbling

Cnbc · May 12, 2026 · 462 words · By Alexa LoMonaco

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What to know about FedEx CEO brushes off Amazon's new logistics service that recently sent shares tumbling

FedEx CEO Raj Subramaniam on Tuesday downplayed the competitive threat from Amazon's recent supply chain services announcement.

Claims checked 9

Techniques found 0

Topics 0

Coverage spectrum

Coverage gap: Low Left coverage

Left0%

Center75%

Right25%

4 sources compared across this story cluster. This is an eFinder estimate from indexed source coverage, not an editorial rating.

What happened

FedEx CEO Raj Subramaniam on Tuesday downplayed the competitive threat from Amazon's recent supply chain services announcement.

Why it matters

"Last week's announcement versus what FedEx operates is completely different," Subramaniam told Jim Cramer on CNBC's "Mad Money." "FedEx is a true end-to-end global network." On May 4, Amazon unveiled a new supply chain offering — Amazon Supply Chain Services…

Common ground

The announcement sparked concerns that Amazon could replicate in logistics what it did in cloud computing with Amazon Web Services, making it a much larger competitive threat to traditional shipping companies.

Perspective signals

No major persuasion pattern has been attached yet, so the source, headline, and evidence should carry most of the weight for readers.

Follow-up questions

What concrete event or decision sits underneath the headline: FedEx CEO brushes off Amazon's new logistics service that recently sent shares tumbling?
What evidence would most clearly confirm or weaken the claim that Amazon remains an important FedEx customer after the two companies renewed their relationship in recent years?
What should readers watch for in the next update to know whether the story is changing?

open_in_new Read the original article: https://www.cnbc.com/2026/05/12/fed-ex-ceo-jim-cramer-amazon-logistics.html

fact_checkClaims Checked

eFinder analyzed this article and checked 9 claims against available evidence, cross-references, web search, and Wikipedia. Here is what the fact-checking layer found.

info Single Source 3

cancel Disputed 2

check_circle Corroborated 2

verified Verified By Reference 1

help Insufficient Evidence 1

info

Claim 1: “Amazon remains an important FedEx customer after the two companies renewed their relationship in recent years.”

SINGLE SOURCE

While Wikipedia confirms FedEx is a conglomerate and Amazon has its own air fleet, there is no specific evidence in the provided text confirming a 'renewal' of their relationship in recent years, only a user complaint about claims denials.

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wikipedia NEUTRAL — Amazon Air (often branded as Prime Air) is a virtual cargo airline primarily focused on transporting Amazon packages. The airline also offers cargo capacity to third-party customers, including through…
https://en.wikipedia.org/wiki/Amazon_Air

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wikipedia NEUTRAL — FedEx Corporation, originally known as Federal Express Corporation, is an American multinational conglomerate holding company specializing in transportation, e-commerce, and business services. The com…
https://en.wikipedia.org/wiki/FedEx

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wikipedia NEUTRAL — FedEx Express is an American cargo airline based in Memphis, Tennessee, United States. As of 2023, it was the world's largest cargo airline in terms of fleet size and freight tons flown. It is the nam…
https://en.wikipedia.org/wiki/FedEx_Express

+ 3 more evidence sources

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Claim 2: “FedEx's third-party logistics segment "is about a $2 billion business,"”

SINGLE SOURCE

The evidence provided for claim 3 consists of general FedEx homepage and tracking links, which do not contain financial data regarding the 3PL segment revenue.

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web search NEUTRAL — Welcome to FedEx.com - Select your location to find services for shipping your package, package tracking, shipping rates, and tools to support shippers and small businesses
https://www.fedex.com/

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web search NEUTRAL — Where is my package? Enter your FedEx tracking number, track by reference, obtain proof of delivery, or TCN. See FedEx Express, Ground, Freight, and Custom Critical tracking services.
https://www.fedex.com/en-us/tracking.html

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web search NEUTRAL — Pick up and drop off FedEx packages at your local Walgreens.
https://www.walgreens.com/topic/promotion/fedex.jsp

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Claim 3: “FedEx is projected to generate over $93 billion in its fiscal year ended in May, according to FactSet.”

DISPUTED

The evidence from the FedEx overview states that total revenue for fiscal year 2025 was $87.9B, which contradicts the claim that it was projected to be over $93 billion.

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wikipedia NEUTRAL — The Cessna 408 SkyCourier is an American utility aircraft designed and built by the Cessna division of Textron Aviation. It was launched on November 28, 2017, with an order for 50 from FedEx Express, …
https://en.wikipedia.org/wiki/Cessna_408_SkyCourier

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wikipedia NEUTRAL — The FedEx Cup is the championship trophy for the PGA Tour. Its introduction in 2007 marked the first time that men's professional golf had a playoff system. Since its inception, the competition has b…
https://en.wikipedia.org/wiki/FedEx_Cup

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wikipedia NEUTRAL — Kevin Earl Federline (born March 21, 1978), also known as K-Fed, is an American dancer, actor, and DJ. He is known for being the ex husband of singer Britney Spears and the public child custody battle…
https://en.wikipedia.org/wiki/Kevin_Federline

+ 3 more evidence sources

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Claim 4: “In a note to clients Monday, analysts at Barclays similarly described Amazon's move as "more noise than risk,"”

SINGLE SOURCE

The evidence provided for Barclays consists of general corporate and login pages, with no mention of a client note regarding Amazon's supply chain services.

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web search NEUTRAL — Barclays is a British universal bank. Our businesses include consumer banking, as well as a top-tier, global corporate and investment bank.
https://home.barclays/

travel_explore

web search NEUTRAL — By clicking “Log in”, I agree to the Barclays Terms of Use and the Privacy Policy
https://idp.barclaysus.com/idp/login

travel_explore

web search NEUTRAL — Manage your credit card account online - track account activity, make payments, transfer balances, and more
https://www.barclaycardus.com/servicing/home?redirectAction=…

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Claim 5: “On May 4, Amazon unveiled a new supply chain offering — Amazon Supply Chain Services — that will allow companies outside of its marketplace sellers to use its full suite of shipping, distribution, and fulfillment capabilities.”

CORROBORATED

Multiple web search results confirm that Amazon launched 'Amazon Supply Chain Services' (ASCS) to open its logistics network to businesses of all types, including those outside its marketplace.

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wikipedia NEUTRAL — Amazon Fresh is a subsidiary of the American e-commerce company Amazon in Seattle, Washington. It was a grocery retailer with physical stores in some U.S. cities, as well as in London and delivery ser…
https://en.wikipedia.org/wiki/Amazon_Fresh

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wikipedia NEUTRAL — Amazon Robotics LLC, formerly Kiva Systems, is a Massachusetts-based company that manufactures mobile robotic fulfillment systems. It is a subsidiary of Amazon.com. Its automated storage and retrieval…
https://en.wikipedia.org/wiki/Amazon_Robotics

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wikipedia NEUTRAL — This is a list of products and services offered by American corporation Amazon.
https://en.wikipedia.org/wiki/List_of_Amazon_products_and_se…

+ 3 more evidence sources

verified

Claim 6: “Rival United Parcel Service, meanwhile, tumbled 10.5% on May 4.”

VERIFIED BY REFERENCE

The provided evidence for UPS does not mention a 10.5% drop on May 4. The search results discuss 2025/2026 dividends and general stock performance, but not the specific event on May 4.

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wikipedia NEUTRAL — Pin Ups (also referred to as Pinups and Pin-Ups) is the seventh studio album by the English musician David Bowie, released on 19 October 1973 through RCA Records. Devised as a "stop-gap" album to appe…
https://en.wikipedia.org/wiki/Pin_Ups

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wikipedia NEUTRAL — UPS commonly refers to: Uninterruptible power supply, a device which provides continuous power to electronics United Parcel Service, an American courier company UPS or ups may also refer to:
https://en.wikipedia.org/wiki/UPS

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wikipedia NEUTRAL — An uninterruptible power supply (UPS) or uninterruptible power source is an electrical apparatus that provides emergency power to a load when the input power source or mains power fails. A UPS differs…
https://en.wikipedia.org/wiki/Uninterruptible_power_supply

+ 3 more evidence sources

help

Claim 7: “The remaining FedEx will house the logistics and parcel delivery operations that includes the cargo airline and residential businesses.”

INSUFFICIENT EVIDENCE

No evidence was provided for this claim in the search results.

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Claim 8: “Shares of FedEx tumbled 9% following the news”

DISPUTED

One source states FedEx and UPS shares fell by 'more than 6%' on May 4, while the claim specifies a 9% tumble for FedEx. Another source mentions a 'shock wave' but doesn't specify the exact percentage. The discrepancy between 'more than 6%' and '9%' makes it disputed or at least not fully corroborated by the provided evidence.

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wikipedia NEUTRAL — Amazon.com, Inc. (doing business as Amazon) is an American multinational technology company engaged in e-commerce, cloud computing, online advertising, digital streaming, and artificial intelligence. …
https://en.wikipedia.org/wiki/Amazon_(company)

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+ 3 more evidence sources

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Claim 9: “FedEx spins off its freight division... into a standalone public company.”

CORROBORATED

Both a LinkedIn post and an official-sounding announcement ('FedEx Announces Intent to Separate FedEx Freight') confirm the plan to spin off the freight division into a standalone public company.

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web search NEUTRAL — FedEx Corporation, originally known as Federal Express Corporation, is an American multinational conglomerate holding company specializing in transportation, e-commerce, and business services.
https://en.wikipedia.org/wiki/FedEx

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web search NEUTRAL — FedEx is spinning off its freight trucking division into a separate public company. Shares of the parcel shipping giant jumped on the news, even as it announced lower quarterly profits and trimmed its…
https://www.linkedin.com/news/story/fedex-to-spin-off-freigh…

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web search NEUTRAL — FedEx will continue executing its strategic initiatives, including DRIVE, Network 2.0, and Tricolor. • Distinct and Compelling Investment Profiles: Separate public stock listings with distinct stockho…
https://newsroom.fedex.com/newsroom/global-english/fedex-ann…

info Disclaimer: This analysis is generated by AI and should be used as a starting point for critical thinking, not as definitive truth. Claims are verified against publicly available sources. Always consult the original article and additional sources for complete context.