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Uber Joins with Amazon on Food Delivery: A Major Growth Catalyst?

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Uber Joins with Amazon on Food Delivery: A Major Growth Catalyst? Maharathi Basu Tue, November 10, 2026 at 1:10 PM EST 3 min read UBER -2.53% AMZN +1.30% BBY -2.21% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.

Uber Technologies UBER and Amazon AMZN have partnered to introduce a new restaurant delivery benefit for U.S. Amazon Prime members. Under the arrangement, eligible members can enjoy zero delivery fees on restaurant orders of $25 or more placed directly through Amazon.com or the Amazon Shopping app, with deliveries fulfilled by Uber Eats. The service requires neither a separate Uber account nor an additional app.

The benefit is available to all Prime subscribers, including those enrolled in the discounted Prime for Young Adults and Prime Access programs. By integrating Uber Eats into its platform, Amazon aims to enhance the convenience and value of Prime membership while expanding access to restaurant delivery services.

The partnership provides Prime members across nearly 10,000 U.S. cities and towns access to hundreds of thousands of restaurants through Uber Eats' extensive delivery network. Coverage spans major metropolitan markets, suburban neighborhoods and rural communities, offering a broad selection of national chains, regional restaurants and local establishments.

Participating restaurants include prominent brands such as Wingstop, Chipotle and Sweetgreen, alongside regional favorites and independent dining establishments. Beyond waived delivery fees, members can access exclusive promotional offers through Amazon, potentially generating annual savings exceeding $175.

To encourage adoption, eligible Prime members can receive $20 off each of their first two Uber Eats orders of at least $25 during the initial 14-day promotional period. Additionally, Prime Visa cardholders can earn 5% back on Uber Eats purchases through Dec. 5, 2026, subject to applicable eligibility requirements.

The ordering process is integrated into Amazon's existing shopping experience. Members can access the service through Amazon's dedicated Uber Eats webpage or shopping application, browse nearby restaurants and complete purchases using their existing Amazon credentials and payment methods. Following order placement, Amazon provides delivery updates through email and push notifications, while Uber Eats issues the final confirmation.

The collaboration is expected to strengthen Amazon's Prime ecosystem by combining restaurant delivery with its established retail, grocery and entertainment offerings. Members can also access free Same-Day Delivery on eligible perishable grocery purchases exceeding $25 through Amazon Grocery.

The expanded restaurant delivery offering complements existing Prime benefits, including fast shipping, Prime Video, Amazon Music, cloud gaming, digital reading services and Alexa+ capabilities. Subscribers also receive access to select ultrafast delivery services, Amazon Pharmacy benefits, healthcare savings and fuel discounts at participating stations.

For Uber, the partnership creates opportunities to connect its restaurant network with Amazon's extensive Prime membership base, potentially broadening customer reach and supporting order volumes. Meanwhile, Amazon can reinforce Prime's appeal by offering additional everyday conveniences and savings through a single membership.

Last year, Uber inked a deal with retailer Best Buy BBY for on-demand delivery. The deal brought consumer electronics from more than 800 stores to the Uber Eats platform. Uber Eats is the online food ordering and delivery platform of the company. Following the tie-up, Best Buy customers throughout the United States are eligible to order a wide range of electronics, appliances and tech essentials on Uber Eats for delivery to their doorsteps.

UBER's shares have declined in high single digits (%-wise) over the past three months. The stock has still outperformed the Zacks Internet-Services industry over the same time frame.

From a valuation standpoint, UBER trades at a 12-month forward price-to-earnings of 16.34X. UBER is inexpensive compared with its industry.

See how the Zacks Consensus Estimate for Uber's earnings has been revised over the past 90 days.

Uber currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

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Amazon.com, Inc. (AMZN) : Free Stock Analysis Report

Uber Technologies, Inc. (UBER) : Free Stock Analysis Report

Best Buy Co., Inc. (BBY) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Read original at Yahoo Finance News

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