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Analysis of Amazon Prime Air UAV Delivery Service

  • Journal of Knowledge Information Technology and Systems
  • Abbr : JKITS
  • 2017, 12(2), pp.253-266
  • DOI : 10.34163/jkits.2017.12.2.005
  • Publisher : Korea Knowledge Information Technology Society
  • Research Area : Interdisciplinary Studies > Interdisciplinary Research
  • Published : April 30, 2017

Jung, Sunghun 1 Hyunsu KIM 1

1초당대학교

Accredited

ABSTRACT

The UAV, or also called drone, is extensively being spread out to various applications and last-mile delivery service is one of the applications which attracts logistics companies including Amazon.com, Inc. Although Amazon Prime Air delivery service using UAVs is widely advertised, slight amount of Amazon delivery UAV information is revealed to public and undermining it became the main purpose of this paper. Throughout the paper, Amazon delivery UAV itself is analyzed in the aspect of UAV classification(DoD) and ideal HW specifications: motor, battery pack, controller, and frame. Particularly, the ideal HW specifications of Amazon delivery UAV are deduced by comparing three resources including information from Amazon disclosure, theoretic calculation, and xcopterCalc calculation. Then, post and parcel delivery market is analyzed by predicting the future based on the present volume and revenue growth between 2012 and 2020 and it shows that there would be a continuous shift from B2B to B2C industries. The delivery cost is further analyzed by considering two opposing cases, that is, cost benefits with or without Amazon Prime Air service between 2013 and 2021. It is indeed revealing that net shipping cost with Amazon Prime Air service will become only 8.6% compared to the one without Amazon Prime Air service in 2021. Last but not least, rules and regulations related to Amazon delivery service are deeply analyzed by studying FAA FAR Part 107 and listing 14 CFRs.

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