In a significant strategic shift, the United States Postal Service (USPS) has announced plans to open its extensive final-stage delivery network to a broader range of shipping companies. The move, designed to diversify and increase revenue, will expand beyond existing partnerships with giants like Amazon and UPS.
A New Revenue Stream for the Postal Service
The agency stated on Wednesday, 17 December 2025, that it intends to accept bids from both large and small shippers in late January or early February. These companies will propose their own combinations of volume, price, and delivery schedules. The USPS will then award contracts later in 2026, focusing on routes where it can profitably offer same-day and next-day delivery services.
Postmaster General and CEO David Steiner positioned the postal service as the natural leader for this final leg of delivery, citing its universal service obligation to reach over 170 million addresses six days a week. "We want to make this valuable service available to a wide range of customers that see the worth of last mile access - other logistics companies and retailers large and small," Steiner said.
Leveraging Scale to Offset Losses
The initiative is part of a broader effort to capitalise on the agency's unique nationwide reach and recent modernisation investments in package handling. Steiner has argued that the 250-year-old institution must expand its revenue base. This comes as the independent federal agency reported a net loss of $9 billion for the current budget year, a slight improvement from the previous year's $9.5 billion shortfall.
Under the new plan, participating shippers would gain access to more than 18,000 postal service "delivery distribution units." These are critical entry points where mail and parcels are sorted for local delivery. Steiner described the concept as a "compelling value proposition" for shippers grappling with the need for fast, reliable customer delivery, suggesting it could ultimately help lower their costs.
Next Steps and Fine-Tuning
While the framework is now public, the postal service noted it still plans to gauge market interest and refine the final details before the bidding process begins. This opening of the last-mile network—often the most expensive part of the shipping journey—marks a pivotal attempt by the USPS to transform its foundational service into a competitive commercial asset.
