ba amazon web services. i think it is intended to show that retail is making money on its own and that will compel them to do that. and i agree, i think aws is fully reflected in that and the share price. the value of amazon retail is not fully reflected in the share price yet. >> michael, thank you. >> thank you, guys. >> michael pactor of web bush securities on the "fast" line. and that is the retail part of the valuation that is not getting appreciated here. >> dan makes a good point. i think you are out of place where a company there are fewer positive surprises for amazon in 2016 with comps that are ridiculously tough. and that is the problem. and i think -- think about where we were 15 months ago, how much people hated the stock. everyone acknowledged their commitment to logistics but people were running scared. so i think sentiment is a little too happy right now and would be cautious. >> i love the stock. and i think it is a great stock to own long-term. there is no question about it. i don't believe

i think this time this could be big for amazon music because amazon music is getting the beatles. reason where it's big is every prime subscriber actually has access to amazon music, but i'm betting most don't know they have access, so as of tomorrow every prime subscriber is basically going to have access to the entire beatles catalog, and amazon music, with most songs, you can download them to your device, play them in whatever order you want. >> does every topic come back to appear zon? >>tives the season. this is one that's potentially big for amazon. hey, mom, dad, you're mom subscribers. get the beatles catalog. >> how long before it gets more expensive? >> it already got more expensive. wron if they're going to hike prices again immediately. they're already getting a decent amount of revenue. they put prime on sale a couple of times in the past year too. >> well, it's not just amazon. beatles are leaving no service behind. spotify apple music, google play, title. these are microsoft group. napster, rapsody. are you surprised they're just going all in and not choosing one or

four of the top five products amazon sold were amazon items.ictor anthony raced the price target on amazon shares to $797 from $727. based on increased revenue estimates. you can see now shares are trading at 670 and change. >> courtney, thank you very much. let's get more on what this could mean for amazon shareholders, eric sheridan is managing director at ubs. strip out what we need to know as investors here, if you could. >> a couple things. referenced earlier was how many prime they added last year, plus what we saw in the third week of december this year. prime has a tremendous loyalty impact. people go direct to prime, we saw a reacceleration in e-commerce growth for amazon, once people become prime custome customers, they spend more money. and that's a leading indicator not only for q4 but in 2015 as we get deeper into the year. >> the big question for people watching is that they will be aware that the stock way more than doubled during the course of this year. it's ban stunning performer. therefore as investors we're pricing in some p

shares of amazon were off just a fraction. morgan brennan takes a look at amazon's strategy.l it an airy ambition. the latest in amazon's quest to build out and control its own transportation network. the "eat times" reporting the e-commerce giant is in talks to lease 20 boeing 767 jets to create its own air delivery service. amazon has not responded to request for comment and boeing is not commenting "on any potential negotiations that may or may not be taking place with potential customers." but if amazon is looking to hit the skies, it is likely doing so by talking to aircraft leasing companies, not boeing directly. leasing companies could operate the fleet since amazon doesn't have an air operator certificate. this model may be something amazon's already testing out. air transport services group is running an air cargo trial out of ohio. that as of last month involved five boeing 767s. atsg has not disclosed its customer for the trial and is not commenting on these reports. but several sources do claim the project does involve amazon. overall, amazon has been bringing mor

amazon does an amazing job.tever number they're at now, the quality of the experience people have this christmas will be reflected in next year's numbers, and as far as i can tell, there have been no glitches this season, so i suspect amazon will come out of this smelling like roses and whatever the percentage is today, it will be higher next year and if you are a shareholder of amazon, you'll feel good about that and way better about aws than the retail business, but you'll feel really good about both sides. >> it is just a crushing advantage that amazon has right now in e-commerce. you think about the logistics network this they built up over the last decade, decade and a half when for the first part of that, everybody was satisfying, oh, that's a terrible idea. look at all the cost. ebay is better. now they have that. nobody else has that. even the bricks and mortar players like wal-mart that have physical infrastructure don't have it organized in the way to really compete with amazon in this mobile era. we'l

then amazon.hen everything else -- almost everything else is terrible. >> that's such a good analysis, it's incredible. i search for anyone who can do anything like these numbers. these numbers are secular growing numbers. in other words, they're taking share from everyone else. addidas is having a good year. under armour is coming on with shoes. this is one of these companies that has figured out what you want, like amazon, and delivers it. and charges a pretty good amount for it. they're a great american manufacturer. by the way, they give credit immediately to flex. they talk about how flex is accelerating manufacturing, that's the old flextronics, contract manufacturer. i had flex on a bunch of times. they talk about how nike is at level of precision that no other manufacturer can match. extraordinary. unfortunately, as you just said no one is matching it. >> no. there aren't -- it's hard to say broad brush, but we know retail has been a very tough year. interesting year. a year really where w

i think what people go to amazon for is complete wide choice.ve got everything you might want. and they'll give you the best price. they go other places for the experiences. and i think that's what the mall operators are going to have to capitalize on, those that are left. you know, there's 300 great malls in america. there's 100 a-plus malls. there's 50 fabulous malls. and there's 10 that just knock your socks off. one, for instance, would be garden state plaza in new jersey. one would be roosevelt field on long island. one would be king of prussia in philadelphia. those are the kind of malls i'm talking about that can knock your socks off, continue to afford to -- continue to be able to afford to expend money on them and build experiential parts of the mall that you can go do something besides just shop. >> all right, jan, thanks. always great to see you. jan niffin with j. rogers niffin world wide enterprises. >>> v-tech maker of children's gadgets says 5 million accounts were impacted by a data breach. the data that was breached contains nam

kicking it off today with amazon. a record holiday season with more than 3 million prime members joining during just the third week of december. the company also saying nearly 70% of its customers shopped using a mobile device. we know amazon's numbers would be big. the fact it's now saying 1% of the u.s. population signed up for prime in one week. >> yeah, big, big number. shortened time frame. i think there's a lot of consumers are seeing the advantage of signing up for the service so they can get free delivery or quicker delivery especially in time for the holidays. they've also been doing a lot more marketing around prime. that this thing exists and this is the benefits. >> do we know if these are actual paying subscribers or people using the free trial? >> they'll use the free -- look, there's going to be a big churn on that for sure. big free trial moment. there's a good chance the bulk of them will stay on after the 30 days or the first trial month so it's a big thing. >> amazon tells us as they always do, broa

everybody uses amazon. hat? >> we had hundred certified cloud providers and amazon is one. they've been a customer of ours for a number years and they use our operating system and some of their customers use it on their cloud based offerings. >> so amazon is out in the cloud and red hat is a service provider to amazon. >> right. and we have microsoft -- >> i wanted to ask about that. has that already kicked in or is it just the beginning? it doesn't seem like one of those for show partnerships. >> we just announced it a month we just closed the agreement and hopefully over the next several months, several quarters, we'll start seeing that business. >> let's say i'm a skeptic. doesn't that mean you already have everybody and there's nobody to get? >> the key thing about what we have, it's one thing to be having a customer in all the enterprise but it's how you also sell to them and then upsell. we started with the lynnix, the operating system, which many of our customers use. but now as we continue to expand our portfolio, you mentioned some such as open stack, so shift, mid

talk about how this has worked for amazon thus far. gene: i think it is good to have some perspective on what they are doing. if you think about amazon overall, they have 20% share of the overall e-commerce market in the u.s. they don't have any of the traditional bricks and mortar retail shares. what this prime now, one our offer is the instant gratification for the customer and people who want things right now. as you mentioned, they doubled the numbers of cities so there are 26 cities. it is not a lot but a big effort they have made in the last two months. the last peas is the number of items you can get is still relatively small -- 28,000 on average which is up from 26,000 a couple of months ago. there is a lot of room to grow in terms of the number of skus. we see this is having a profound impact on amazon taking what they had on traditional retailers and tightening it. one area feels that instant gratification segment. cory: i could quite hear the number of items but talk about the number is and why it is so significant. gene: ri

>> i don't think that amazon is in trouble, there is a-- there is no denying how strong amazon is.ing a big chunk of the growing in e-commerce, 93% of all retail sales happens from a retailers that has a brick and mortar store. i think what we're going to start to see, we're seeing now in the holidays and start to see more in 2016 is when it comes to retail, stores are the new black. we're already seeing large national retailers like macy's, bloomingdale's, williams-sonoma, a lot of our customers are leveraging their stores to be e-commerce fulfillment centers, picking up from the stores or deliver from na store. cheryl: wait, they're going to try to compete with amazon by taking in the orders at store level and delivering that day, is that how they're going to try to make this work? >> well, i think what they're doing is a couple of things. one, e-commerce orders that are placed on-line can be fulfilled from the store. it makes a whole lot more sense if i'm here in palo alto and i order something on-line from macy's, rather than have it shipped to me from the atlanta distribution

can it be amazon? can a company be destroyed by the doll nance o othe greatest onlili retailer in the world? that question is driving a lot climbing 79 points,some & p sinking 4.6%, nasdaq dipping 4.7%. i think disconcerting for a number of reasons, we are going to go over them. i hear that amazon might be growing sales in a double-digit clip year-over-year, including this one, i think about how big amazon is, i regard that as a discouraging trend for everybody else because there's simply no way that one retailer could see such an enormous uptick without it being zero sum, amazon's game is somebody else's pain. >> house of pain. >> second, i see amazon doing well, i recognize that amazon could be say even worse than walmart in its demands on those who use its web services, let alone the cut-rate prices it offers. this company has spent billions building out its own online infrastructure in order to make e a a y like this one, cyber monday, seem like child's play meanwhile, target, which advertised so h

it's not amazon's best year.t's had better years, but jason, does this surprise you that jeff bezos wants an oscar? >> no, not at all. i mean, they've won a ton of emmys and golden globes, and they've got a ton of series that are groundbreaking like "transparent" and "house of cards" and a bunch of other ones. what this is really about is creative freedom as well as data. amazon is looking at a very granule ar level of how many minutes into each program, how many episodes into each series and also the sales of dvd's, historically, et cetera, to figure out what types of content on a very granular level people are reading and what content they're watching. this is going to have an impact on hollywood that's going to be very similar to what happened when robert evans came if in the 1970s and, you know, films like "easy rider" and "the godfather" and "the conversation" and just all these amazing films from scorsese and coppola and lucas came out, and they really changed hollywood forever from these big blockbuster mu

fourth, the mall site effect is just crushed by amazon. one of the reasons for the enclosed mall the synergy, walk through a nordstrom to get to a j crew, pass a neiman to get to a coach. it worked. did your shopping at a mall by going past a bunch of stores and shopping in one after another. now shopping at home. speaking of home, many of our guilty pleasures these days involve staying home. grand theft auto the single biggest entertainment release of all time, not a movie, video game. video games the hottest segment of the retail economy and netflix caused to you binge on a weekend you should be shopping, with a hot new series, "jessica jones" this past weekend on my brand new ipad pro, which i love, you just don't have enough free time to dwell at the mall. it doesn't even seem to matter that gasoline has fallen to levels one thought unimaginable, literally 50% less at a gas station this weekend than i had the year before. you simply can't dislodge the cell phone shopper watching "narcos" on netflix. six, if you're constantly spending t

amazon air raids. new droneveal prototype for the 30 minute delivery service. $30 billionbehind worth of start up. first, in what is shaping up to be a record-breaking day for online shopping, sales are expected at $3 billion, capping off a massive holiday weekend. consumer spending $8 billion online. at one point this morning, target's website was overwhelmed by demand and shoppers were greeted with this message, apologizing for delays. at the surge also impacting paypal. over the weekend, neiman marcus, its website crashed twice and was down almost all friday. joining us now, shannon pettypiece, our contributor david kirkpatrick. i was one of the shoppers who tried to buy something from neiman marcus on friday. i did not go back. i imagine they lost a lot of shoppers. break it down for us. what went wrong? shannon: at target, the company says that they got twice as much traffic today as in their previous record, which was on black friday, so just a surge in demand. of course, these days, it's 2015, c

chris: amazon is interested in drone delivery. google is interested in a number of things, including drone delivery, but also using drones to provide internet access to the developing world. i think both of them are thrilling. they are great technology companies with deep pockets. this is a classic swords to plowshares moment. we are taking what is formerly military technology and putting it into the hands of civilians with the hope that the positive uses will drown out the old military uses. the amazon video going viral was the first time people thought of drones in a nonmilitary context. emily: how likely is it that drones will be delivering my amazon packages? chris: your amazon packages to your home -- that is a ways off. emily: how long? chris: a decade. but delivering to a center where you could pick up a package -- so, warehouse the warehouse, we can do that today. delivering to rural areas would be easy as well. once you get delivering to an arbitrary front doorstep, that is a little hard. as the home delivery, the instant

imagine working at amazon.ox 29 takes you inside for a rare look at the last minute chaos to get your packages out on time. >>> talk about an intense first day on the job. what a rookie officer did when he saw this house on fire that saved an entire family. >>> plus local high school students dig deep to make sure local kindergarteners have a merry christmas. the toy drive that turned into so much more. ♪ >>> west philadelphia police are hoping you can help them find the man who robbed a grocery store. investigators say this guy walked into the grocery on north 50th street last thursday armed with a gun. he tried get behind the counter. when that didn't work, police say he reached into the register and stole $200. nobody is hurt though. >>> violent attack caught on camera in kensington. cops say the vick testimony was sitting in his car after a car accident. >> and then a man walked up to him, punched him and robbed him. fox 29's brad sattin is live at police headquarters. brad, police obviously want to get the

facebooktflix, amazon, -- cory: calling amazon new technology because of aws?id: yes, and it decided it wanted to start showing a profit. what's interesting about aws is you have a platform which is cannibalizing old tech. look what happened to the likes of hp. delvin and went private -- adele -- dell ran and went private. there was net value destruction and value creation in some of these newer areas. , you it's interesting mentioned microsoft's competitor web services, but the way amazon web services is blowing a hole through .nterprise tech sun portionard, the of oracle sun, ibm, train wreck -- all these companies may be isfering because of what aws doing. david: your whole here was bringing a series of cloud companies on to "bloomberg west." i think amazon is the name to watch in 2016. with aws, you have an 8 billion monday platform that accounts for 60% of the operating profit for amazon but is absolutely disintermediation the price of compute and storage. there is not one start up between here and san jose that does not have to consider aws venturey go to

can amazon stay red hot? >> let's bring in edmond lee. the latest leg higher can we attribute to those holiday numbers we got? >> it's definitely the holiday numbers. they touted the fact they generated 3 million more prime subscribers in the week leading up to christmas. that goes to show you all the advertiser, all the marketing they're doing, trying to get people into prime is working. >> seems like the stock has hit a new gear, though, doesn't it? >> yeah, what's going on? >> it's getting very strong here. >> i think part of it is i think investors are getting a better lens on amazon as a company all together. it's not just selling stuff to people. it's a services company, it's doing everything it can to get goods and services to people, whether that's physical products or aws which is their cloud service, they are also -- a big part of their business is their marketplace division which has other vendors selling stuff through amazon and that's the faster growing part of the business, they are ultimately a logistics company, want to de

deirdre: a successful holiday season for amazon, amazon prime added more than 3 million new members inust one week at the peek of the shopping season now shipped to 185 countries, broke its own package record of more than $200 million. retail analyst for h squared research with me now. great to see you. >> good to see you too. deirdre: so amazon just keeps breaking numbers and breaking numbers, it seems like nobody wants to go into a physical story anymore. >> right. the big take away number here is $10 billion. that's how much amazon has spent on research and development over the last 12 months. so it makes sense that they have now established prime and amazon all this new show, viewing shows to go see online. premium going to -- deirdre: amazon whole world whatever you want to buy, they have it. >> exactly. deirdre: whatever you want to watch -- maybe not whatever you want to watch but a lot of things you may be interested in. >> right. and some of the most frequent items that were bought on christmas eve from amazon prime -- deirdre: let's hear it. >> orange juice. simply orange, or

you just got it right this we're, amazon said that's both educationary for amazon because the major expenses are fleeing, and cautionary for these guys. there's positive up side to the stock. you know, i bought you out to come around midyear. $336 million of some of its 2020 notes. john. they had a deal with dominion about mauer, solar power in particular, of course, which is what sune is all about. stock has made a wonderful move off of $2.50 and is now over $5 again. people may start looking at this, but there are so many others in the space that i'm more interested in. >> i got torg with elan musk. if i would have held it, solar city, stey. if i would have held it, i would have won the contest. i bought it because we had unusual call activity. it popped about $5. i got out of it there, and it continued another $15 higher. >> that's the case of a fish that got away. >> could have, should have, would have. don't look back. >> incredible hope. amazon, microsoft -- they're all on a tear and worth $3 trillion dollars combined. >>> time is running out. the trader of the year. who will wear this

something else, if you go to regular amazon, a lot of time it is third party resellers, amazon prime is all through amazon are approved vendors. you will know where it is coming from. >> prime now, the amazon products are coming from us and you can buy from west side, and alcohol deliveries. >> that is speaking to the new york crowd. >> champagne for christmas. >> we say it is 5:00 some where. thank you for having us. this is so much fun. this is like a kid in the candy store and all the things you can get within an hour. $99 to be a prime member and it is free if you want it in two hours or 7.99 in one hour. great last minute shop if you are shortchanged under the tree this holiday. >> how much is prime? to be a member? did you say that? i didn't hear that? >> 9d $99s a year. >> i'm ordering wine in the 9:00 hour. >> greg: thank you, anna. rosanna: i'm ordering wine for the 9:00 hour. greg: ordering paper towels online. rosanna: that is lazy. greg: what happens to the a and and p. >> look at the food emporium. a lot of the stores are closing down. rosanna: all right, i won't get the

and the steep being amazon. but these three names, and there are others, as we know, that are collectively supporting the market. so long as that is going on, the market's health has to be called in question. >> that is exactly your point, dan. >> well, yeah. carter and i, we're brothers from another mother. and we know a lot of this stuff. >> simpatico. >> it is a big word. >> but i want to make one point. listen, we've seen this before. we know how it ends. you can't have this sort of weak breath without the market broadening out at this stage of the game. we now how it ends but it is a matter of when. >> carter, when you say there is a little bit more to go. what do you mean by that. because that rollover looks dramatic. >> if you could picture amazon for the next four or five weeks has been sideways and netflix has pulled back. and this stall is a function of the two stocks make nothing progress. the only one extended day-to-day is activision. so the presumption -- and it is not three, it could be 30. this i

how good amazon is. an order for a small computer part, 15 minutes later it was at his house. the distribution center is not that far away. stuart: what? did you say 15 minutes? >> 15 minutes, yes, sir. stuart: 3-d print it and that's extraordinary. answer the question, ashley, amazon nike. ashley: i'm going to be boring and say amazon-- i'm going for nike, best performing stock all year and really building up its on-line presence. stuart: look at it now. ashley: and they call it this style, where people are wearing more and more tennis shoes like they did back in the '70s and '80s. >> wouldn't you go with under amour before nike?>> for runnino run and nike-- i've run two marathons. stuart: you're kidding me. ashley: i know i don't look like it. stuart: that's a segment. i am he want to stay on amazon. liz, bring you in on this. e-commerce liz: the mcquarry research, a 51 cents of on-line and other companies get the 49, 24% of memberships for prime and half by 2020. stuart: i'verarely see a company of th

or something like amazon? >> absolutely. there is no doubt about it. when i first -- it was so interesting, first of all, they're so gutsy and talented. they threw down here. they got jill saloway. they understood her beauty and what she was doing and joe lewis and roy price, they picked it up not just for one year but two years. it's unheard of. you go to television and see chairs, chairs, chairs, people with ideas. we don't have any of that. it's just, like, go, go, go. we trust you, go. >> rose: larry sanders was fun, too. >> it was. changed my life. >> rose: how so? gary did a show -- gary schanlin dade show called it's the gary schandling show and i said, whatever he's doing is what i think comedy is. it's a little messy, a little unstructured, sometimes you have to lean in, sometimes you have to pass a joke to something else. sometimes it's not funny, and sometimes it's something else. cut, two i'm in his office and auditioning for kingsley because they couldn't find it. >> rose: they couldn't find -- th

i should have ordered it on amazon, hey! if you have somebody on your list that loves to read, it's not just for children. it's an adult book. >> joy bauer has these nourish snacks. gluten free, a five pack for $10. you've got new flavors, chocolatey flavors. >> i was eating these this morning, the chocolatey ones. a little bit of a sweet, but you don't want, you know, something that's going to be too heavy or too many calories. >> you know exactly what you're getting in each package, you go to nourish snacks.com. just like the airlines. very cool. >> while you were out shopping, hollywood was hopping. >> we've got all the juicy buzz today. >>> cyber monday on today is sponsored by amazon prime now, cities. with so many different types of germs to watch out for... it's important for your wipes to kill a broad spectrum of germs. and lysol wipes kill 99.9% of germs, including 8 different cold and flu viruses. to help protect... lysol that. americans. we try to live healthy. but many of us don't know there are nutrients that ca

order on amazon prime. amazon prime promises that they can get you a package within one hour. >> it just seems incredible. i don't think they'd make that promise if they didn't think it could work. >> we actually didn't hit the button until 9:40. >> called amazon prime now. >> and they have now expanded the service to 20 cities. they offer free delivery in two hours or one hour with a fee. can you imagine ordering something on your ipad and in an hour's time, the delivery person shows up with the package. >> or as you pointed out, maybe a drone. >> maybe a drone. >> so we will wait. >> how exciting, though. >> we might have breaking news, any moment. >> we'll let you know if it works. >> so it's elf on the shelf time. they're showing up all over the >> they start appearing in homes across the country around thanksgiving time. we have one. do you guys spot it? where is the elf on the shelf? where is it? where is it. oh! below. >> there he is, he's on the today sign. >> we hear that the elf doesn't become mag

but we do know that amazon sales hit a record $88 billion in 2014.e day delivery and selection that no other retailer can touch. >> you can't fathom the amount of inventory we have in the building. >> reporter: it looks like a lot. and it is. amazon says those shelves are home to 1 million different items. >> 1 million. you don't realize that probably not. we even spot add toilet in sto stock. >> you name it, we have it. >> reporter: chaos and a super sonic conveyor are what we expected. manager chris explained that speed isn't everything. >> the important thing is just the flow. >> reporter: order levels fluctuate and, yes, there are rush hours. yet amazon says its software regulates the line to maintain a steady pace. >> in order to have 1 million unique items in this facility you have to be able to do that. >> reporter: gaping, gigantic as this fulfillment center is it's not alone. >> we have 109 fulfillment centers worldwide. >> reporter: locally, 59 football fields probably isn't enough either. our tour guide hinted at expansion. though they wou

amazon up a massive 115% in 2015. you know what amazon uses to ship those packages? fedex and ups where you worked, guys. those stocks broadly underperformed. what's going on? are they sounding the alarm on retail shipping? >> it's fascinating. i would have thought as the shift to e-commerce, everyone knew that was happening, but accelerated faster than people thought, you would have thought this was a big benefit for these guys. dan made a very smart point. >> that's shocking. >> i know. that's why i bring it up. which is they could end up having too much to do and therefore not be able to do it efficiently and end up with excess costs. that's happened to them before. >> we saw that. >> that was smart, dan. >> i'm not usually making too many cogent points as guy would say. you talk about fedex down 12% on the year. it's a cheap stock that trade 13.5 times earnings. when i think about a stock like this, you almost use opportunities. activists have been in it. last year was fedex and ups. they misallocated resources. the stock's got nailed. to me, i think that it coul

amazon guarantees delivery of gifts until the clock strikes midnight. how does this change a retailer like amazon and also the competition? customers being able to get something deliver td to you in an hour. it is changing the game for our company too. we're adding more shopping days to the holiday season. >> urban fulfillment centers available in places like san francisco, houston, miami and atlanta are purposely centrally located. >> there's no way to get things in an hour if it weren't in the center of the city. >> as soon as the order is arrived it's processed and bagged. amazon prime customers will shell out an extra eight bucks to have their order in an hour. for those willing to wait for two hours, the service is free. here in new york deliveries are done by subway, bike or on foot. shannon says the prime now app marks amazon's latest attempt to gain a upper hand on the competition. >> most of the competitors you're looking at five to seven day shipping. amazon is always one to two >> you call it the procast nay tor screen, is that sending a bad

amazon wants to deliver your packages the old-fashioned way. by truck.hey won't be using any old trucking company to get your packages where they need to go. morgan brennan takes a look at the company's new venture into the delivery game. >> reporter: amazon is going the extra mile, unveiling its new trucking fleet at an event in chicago earlier today. a fleet of thousands of branded semi trucks that will be used to haul goods between the e-commerce giant's warehouses, fulfillment centers and sorting hubs. the trailers or containers attached to the vehicles will be owned by amazon and transported by third-party operators that own their own tractors. the trucks will deliver orders around the country, and amazon says it's doing this to help fulfill demand since package volumes are "increasing dramatically." it's the latest step in amazon's quest to control its supply chain and build out its own transportation network. a strategy meant to help rein in costs, which grew 31% last year and outpaced revenue. analysts say this is especially true during the peak

the special delivery amazon is giving to its prime customers. ((kirsten joyce)) > and this spinning ice circle has some scratching their heads. moving the sheet of ice. /// < welcome to a brighter morning, this is 8 newsnow with kirsten joyce, sherry swensk, demetria obilor and brian loftus > ((kirsten joyce)) > thanks for joining us, i'm kirsten joyce. ((patrick walker)) and i'm patrick walker in for brian. today, 24-year- old lakeisha holloway will make her first court appearance.. following sunday night's deadly strip crash. ((kirsten joyce)) and the question is being raised about pedestrian safety on the strip.. after dozens were run over. as karen castro report.. county leaders are considering more improvements along las vegas boulevard. ((karen castro)) sidewalks along las vegas boulevard are as busy as any other day.... even after police say 24- year-old lakeisha holloway and plowed through a crowd of pedestrians. 32-year-old jessica valenzuela died and dozens of others were injured. ((ken salter - canada: it makes one a little more weary

it also may cause some soul-searching for amazon. wall street journal had a very interesting piece about amazon reconsidering its relationship with ups. they are re-of violating it. can we become less dependent on outside carriers? ,aving a situation like this amazon lives and dies by quick delivery, getting things there on time. if they feel like they can't count on fedex or ups, maybe it bolsters this argument inside the company that we need to build out our own logistics. we need to take this into our own hands. cory: i don't know. i remember a million years ago inc. theyked at time , were working on their logistics for delivering magazines and they wouldn't have to use the post office. is this just a competitive bidding gimmick? shannon: that could be true but , jeff bezos is known to take a page out of walmart's playbook. walmart has its own private trucking fleet. 80% of walmart merchandise is shipped from walmart distribution to a store with a truck that is owned by walmart. their logistics system, and they feel like that has

amazon logistics services, als. up. it's pretty clear that bezos has no fear. he likes to go big and likes to go end to end solutions, and he is not afraid to lose money, break even for a decade or two. this is a really big issue, i think, for ups. fedex in a smaller way because they don't have a lot of amazon's business. consumers want to get their items immediately. same day is going to become the standard. amazon obviously with prime, which is a huge focus for them. tens of millions of members, have gotten used to two-day delivery for free. here in san francisco and other major cities, people are getting used to two hours for free. it's a sea change and a big problem for ups. >> it just makes sense. as we were talking about here yesterday, their shipping revenue is growing faster than the shipping cost because they're doing so much logistic services for third party sellers, which are going to be half of their overall volume soon, so they are logistics player. it makes sense for them to minimize that cost. especia

>> amazon gifts to procrastinators. we begin with a look at toy's eye opener. your world in 90 seconds. >> there's a lot of snow. >> oh my gosh, people out here don't know what they're doing, man. >> powerful winter storm slams the e west. >> reporter: on this first full day of winter, rain, flash floods and snow. >>> high temperatures across the eastern u.s. >> what's it like in december typically delivering the mail in. >> it's hard work. >> reporter: hell no, hillary clinton out of it. she will not tell trump she is sorry. >> hillary clinton went after donald trump in personal terms. >> she was going to b bt obama. e was favored to win. she got, she lost. >> reporter: a driver is accused of motion down dozens of people. she said she was stressed o o >>> >> reporter: orlando seaworld sky tower, refused to come down for three hours. >> investigators on more cases of e. coli linked to chipotle, five six in kansas and oklahoma. >>>>t the we'll a 13-year-old boy, riding shotgun, his 8-year-old sister. >> all that -- >> a touchdown pass. >> matt stafford on fire.

that's great for amazon shareholders and employees, but here is more macro question, is amazon becoming too big and simply too powerful in retail? bob pisani and retail reporter courtney reagan are with us, so is ron insana and kayla at the nyse. all of us were going back and forth on e-mail ahead of this segment. you say in 31 years of covering financial news, you have never seen a stock like amazon. explain. >> well, in the sense i've never seen a company like amazon where investors have been willing to give the firm the wide berth it has with respect to producing profitability. investors have been content with revenue growth, cash flow growth, massive reinvestment, but razor thin profit margins at best when they do report profits, and i guess the big idea here is that as amazon grows into this behemoth, ultimately it will begin to, as it maybe invests less or spends les, produce extraordinary profits. now, that's the guess. that's the wager here, but, again, i have never seen investors as patient with a stock as they have been with amazon, but it's worked. they're up on the capital s

amazon prime customers willing to shell out 8 bucks to have their order in an hour.hose willing to wait two hours, their service is free. here in new york deliveries are done by subway, bike or on foot. shannon says the prime now app marks amazon's latest attempt to gain the upper hand on the competition's attention. >> it's like amazon is one to two steps ahead. >> you call prokrast nay tor's dream. >> we don't judge. >> sylvester will work from 6:00 a.m. to midnight on christmas eve despite his family's wishes. >> i told them i will do work and i will get off when i can and see them when i get home. >> rushing to get it there on time. >> on any given window, you can do maybe four, five deliveries. >> well, not at all. that's the traditionally holiday colors cooperate with the holiday cheer. >> and in case you're wondering what if i wonder something it's sold out, amazon insist that can't happen. they say the quick delivery app only shows merchandise that's in stock and ready to go. and that's the overnight news for this wednesday, for some of you the news continues