Amazon Prime Users May Soon Order Food Online in India as the Company Plans to Buy Uber Eats

If you are staying away from your family or simply not a fan of home-cooked meals, food delivery apps such as Swiggy, Zomato, and Uber Eats come to your rescue. Unfortunately, Uber Eats’ India operations have been gobbling up an insane amount of money. A report suggests that the California based company was losing 15 to 20 million dollars a month to attract and serve customers on its food delivery service. Despite burning so much money, last year Uber Eats was only delivering between 150,000 to 200,000 orders per day. On the other hand, Swiggy dominates the food delivery business with a whopping 800,000 order per day. It is followed by Zomato, which clocks in 6,50,000 orders. It is no surprise then, Uber India wants to get rid of its loss-making delivery business to show the books in green. In February, it was reported that both Swiggy and Zomato have been showing interest in eating up Uber Eats. Now, if Business Standard is to be believed, the American e-commerce giant Amazon is planning to devour Uber’s food-delivery business in India.

Amazon Is Planning Enter The Food-Delivery Business

At the current stage, the two companies are exploring the possibility of a “strategic alliance”. However, it is believed that Amazon India is keen to fully absorb Uber Eats India operations. Amazon India deals in a wide range of product categories such as mobiles, home appliances, furniture, apparels, books, toys, bags, and much more. The company offers Prime Now local grocery delivery service in most Indian cities and towns. When ordering from this service, Amazon Prime members get additional benefits such as free express deliveries and discounted prices. There’s a good chance that in a similar fashion, Amazon India will offer goodies in its food-delivery service. Since people order food more often than purchasing electronics and other stuff, such integration will ensure that users return to Amazon services frequently. Food orders will also definitely boost the number of transactions for Amazon.

The rumor has it that Bangalore based Swiggy’s bid to acquire Uber Eats in the country fell through due to the lack of agreement on the company’s valuation. Reportedly, Uber Eats is likely to put its valuation to the tune of 300 million dollars. For Amazon, that’s like a pocket change. If the e-commerce giant acquires Uber Eats, don’t be surprised if the food-delivery service gets a full-fledged Alexa integration. The trolls from 4Chan and Reddit can finally tell Alexa to fix them a sandwich.

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