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Amazon coming to South-east Asia via Singapore, says report

By Minjun Park
1 min read
In this article (5)

Amazon has plans to expand to South-east Asia, and there are signs the online retail giant is enteringhe region through Singapore, Techcrunch reported on Wednesday (Nov 2).

Amazon is acquiring assets, and hiring new employees in Singapore, the tech news website said, citing two sources close to the company.

There has been no official announcement by Amazon.

The report said that Amazon may debut its Prime delivery service and its AmazonFresh grocery service, perhaps as soon as early 2017.

Amazon’s possible South-east Asian foray comes soon after aggressive moves to enter India and China. In China, it started offering its Prime free-shipping service last month.

Prime gives members in the US perks like free delivery and access to a growing library of videos and music.

The US company has also pumped $3 billion more into its Indian e-commerce operation.

Amazon’s entry to the region, if it materialises, may heat up competition in the online retail market.

On Wednesday, Singapore-based e-commerce company Lazada announced that it will acquire Redmart, an online grocery retailer.

Sometimes called South-east Asia’s Amazon, Lazada was started by Rocket Internet. Chinese e-commerce leader Alibaba bought a controlling stake in Lazada in April this year in a US$1 billion deal.

Questions & Answers

Q.

What services might Amazon offer when it launches in Singapore?

A.

Amazon may launch its Prime delivery service, which offers benefits like free delivery, and its AmazonFresh grocery service. These services could potentially debut as early as the first part of next year.

Q.

Which company is considered a major competitor to Amazon in South-east Asia?

A.

Lazada, an e-commerce company based in Singapore, is often referred to as South-east Asia's Amazon. It recently announced the acquisition of online grocer Redmart, and Alibaba bought a controlling stake in it earlier this year.

Q.

How soon might Amazon's services become available in Singapore?

A.

The report suggests that Amazon's Prime delivery and AmazonFresh grocery services could launch in Singapore relatively soon. This expansion into the region might occur as early as the start of 2017.

Q.

What is the basis for the report about Amazon's entry into Singapore?

A.

The tech news website Techcrunch reported on Amazon's plans for South-east Asia, citing two unnamed sources close to the company. These sources indicated Amazon is acquiring assets and hiring new employees in Singapore.

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