Amazon is getting back into restaurant delivery with Uber Eats team-up

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Prime members can now order takeout straight from the Amazon app or website with waived delivery fees on orders over $25.

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Prime members can order Uber Eats takeout directly on Amazon’s website or app using their existing Amazon payment methods. Amazon handles the ordering process and delivery alerts, while Uber Eats sends the final receipt. Uber says it’s designed to let shoppers buy meals, groceries, and everyday household items all in one place.

This is a return to restaurant delivery for Amazon, which has always aspired to be the default delivery service for all household orders. After shutting down its own internal Amazon Restaurants service years ago, the company has realized partnering is cheaper than building its own delivery service for perishable meals from scratch.

At the same time, Uber gets access to tens of millions of Amazon Prime shoppers who already love getting things delivered, without having to spend money running app store ads to win them over. DoorDash is the bigger player in restaurant delivery, so by partnering with Amazon, Uber is clearly hoping to put pressure on its much larger rival.

Amazon previously partnered with Grubhub by offering free delivery to Prime members. Adding Uber Eats as the “official” partner means Amazon is either deliberately teaming up with multiple delivery apps, or simply admitting that Grubhub has become too small to really matter to Prime members.

Amazon and Uber say members could save over $175 a year, but that calculation assumes you order delivery fairly often. Because the estimate is compared against paying full price on every single order, customers would likely need to order takeout several times a month to reach that total.

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