Amazon India has decided to shut its food delivery business on December 29 this year, according to a letter sent by the e-commerce giant to its restaurant partners. This follows its recent decision to shut down its edtech offering in India from August 2023.
The business has assured restaurants that it is committed to fulfilling all of its financial and other contractual responsibilities. All Amazon tools and reports will be available to restaurants until January 31, 2023. Additionally, it will offer assistance with any compliance-related issues through March 31.
The service will be discontinued in a phased manner and the partner restaurants will have access to all Amazon tools and reports till January 31, 2023, said Moneycontrol citing the communication. It is also important to note that the food delivery vertical was operational only on a pilot basis in Bengaluru city.
Amazon Food had onboarded about 3,000 restaurant partners including quick-service restaurant brands such as McDonald’s and Domino’s Pizza, according to the sources. Around 25 people working on the project have all been absorbed by the company.
The business stated that it is still committed to the Indian market and that it will make further investments in B2B services like Amazon Business as well as grocery, cellphones, and consumer goods. This is the second such development that has taken place over the course of the week. In November, the ecommerce giant said that it was shutting down its edtech vertical, Amazon Academy.