Amazon has acquired several companies to cater to a wider customer base. But which companies are these?
To answer that question, I browsed many business reports and articles to create an up-to-date list of Amazon subsidiaries.
In this article, you’ll discover Amazon’s biggest acquisitions and get an idea about what they are interested in and what their next move might be.
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Whole Foods Market is an organic food grocery chain with over 500 physical stores in the US, UK, and Canada. Progressive Grocer reports that Whole Foods is planning to open 50 more stores under its new CEO, Jason Buechel.
Amazon bought Whole Foods for $13.7 billion in 2017. It is Amazon’s largest acquisition to date and also Amazon’s first venture into brick-and-mortar retailing. Through Whole Foods, Amazon now offers key food products at lowered prices.
Furthermore, customers can order through Whole Foods Market and Amazon Fresh, a grocery delivery service. Amazon Fresh and Whole Foods allow Amazon to compete in the fresh food industry.
Zappos is a Las Vegas, Nevada-based online retailer of shoes and clothing. Zappos grew rapidly as an independent company before Amazon purchased it for $1.2 billion in 2009.
The company’s original name was ShoeSite. The name Zappos came from the Spanish word for shoes, “zapatos.”
Through Zappos, Amazon showed the world that it’s more than just an online bookstore. Zappos is also Amazon’s first billion-dollar subsidiary.
Originally an independent robotics company, Kiva Systems was purchased by Amazon for $775 million in 2012. It now operates as Amazon Robotics.
Before, Kiva Systems catered to many clients like Gap, Walgreens, Office Depot, Crate & Barrel, and Saks Fifth Avenue.
Kiva Systems’ automated storage and retrieval systems are now exclusive to Amazon warehouses. According to Peter Holey of The Washington Post, Amazon has more than 200,000 robots in its warehouses as of 2019.
Pillpack is an online pharmacy that launched in 2013. It accepts orders for prescription and over-the-counter medications online and ships them to customers for free. Amazon Pharmacy acquired them for $753 million in 2018.
Pillpack delivers orders in pre-sorted packets. It also retails other pharmacy items like eye drops, creams, insulin, and inhalers.
Meanwhile, Amazon Pharmacy processes medication orders in bottles and recurring prescriptions. Pillpack recommends Amazon Pharmacy to those who have recurring prescriptions or an Amazon account.
Amazon’s acquisition of Pillpack marked the company’s entry into pharmacy services. Pillpack leverages Amazon’s extensive delivery network to ship orders overnight across the US. Like Whole Foods and Zappos, Pillpack is one of the companies owned by Amazon that retained its name.
Twitch is a live streaming platform for creative content that launched in 2011. It is popular among video game and e-sports players. Users can also host non-gaming streams like music and real-life broadcasts.
Amazon acquired Twitch Interactive for $970 million in 2014. According to The Wall Street Journal, Twitch had the 4th highest peak internet traffic in the US at the time of purchase. Twitch currently has 140 million viewers monthly, says Brian Dean of Backlinko.
MGM Holdings is an entertainment company. It produces and distributes movies, TV programs, home videos, interactive media, music, and licensed merchandise.
MGM Studios was a merger of three companies in 1924. It holds the rights to many Hollywood movie productions like the James Bond and Rocky franchises.
Amazon bought MGM Holdings for $8.5 billion in 2022, making it the second most expensive company Amazon owns. With MGM, Amazon’s intellectual property catalog increased. It improved Prime Video’s streaming service, too.
One Medical is a US primary care company based in San Francisco, California. It provides members with online and in-office health care services. One Medical has over 72 clinics across the country.
According to The Washington Post, Amazon has agreed to acquire One Medical for $3.9 billion. It will be the third largest Amazon subsidiary when the deal closes. It will also be the first acquisition under the new Amazon Chief Executive, Andy Jassy.
In addition to the big names mentioned above, here are Amazon’s other notable acquisitions:
Audible is an online platform for podcasts and audiobooks where you can buy individual content or subscribe to a curated content library. Amazon bought Audible in 2008. With this acquisition, Amazon bolstered its audio content offerings.
Goodreads is a social website where you can catalog and recommend the books you read. You can also form discussion groups with other users.
Amazon acquired Goodreads in 2013. You can buy any book on Goodreads as an e-book from Amazon Kindle or an audiobook from Audible.
IMDb is an online database for movie, TV, and celebrity content. On their website, you can find plot summaries, actor bios, reviews, guides, technical specs, and trivia.
Amazon acquired IMDb in 1998, but many aren’t aware that it’s an Amazon subsidiary. This also means that Amazon owns Box Office Mojo, an IMDb-owned website that monitors and publishes box office revenues.
Zoox makes autonomous vehicles that provide mobility-as-a-service. The company drives, charges, maintains, and upgrades its robot taxis. You only pay for the service.
Amazon purchased Zoox in 2020. According to their website, Zoox will launch its first ride-hailing service soon. Right now, it’s focused on testing autonomous vehicles on public and private roads.
Ring was an independent company known for its Wi-Fi-enabled doorbell system. This feature allows you to stream a live video of your home to your smartphone or tablet. Ring currently produces a variety of home security devices and apps. Amazon bought Ring in 2018.
Souq was the biggest e-commerce platform in the Middle East. They sold a wide range of products, including:
- Consumer electronics
- Fashion pieces
- Health and beauty products
- Household goods
- Baby care items
Amazon bought it in 2017.
In the UAE, Souq.com is now known as Amazon.ae. Amazon.ae offered over 30 million products at its launch. These products include those already available on Souq and about 5 million more items from Amazon US, CNBC reported.
In 2020, Amazon rebranded Souq to Amazon.sa in Saudi Arabia. With a dedicated online store, Amazon.sa offers local and international products. This allows shoppers can enjoy next-day or same-day deliveries. Amazon also relaunched Souq as Amazon.eg in Egypt in September 2021.
Junglee was an Internet shopping mall in India. Amazon acquired Junglee in 1998.
Junglee’s database technology allowed users to discover and compare products from both online and offline sellers. In 2017, Amazon integrated Junglee.com into Amazon India. The former domain now redirects to Amazon.in.
Amazon Inc. is an American tech company focusing on e-commerce, cloud computing, digital streaming, and artificial intelligence. The company started in 1994 and founded by Jeff Bezos.
Originally an online marketplace for books, the company now develops and manufactures integrated consumer electronics like the Amazon Kindle, Echo, Fire tablet, and Fire TV. Amazon launched the subsidiary Lab126 for this purpose.
Amazon’s business strategy is customer-driven. The company aims to meet every customer’s needs and provide them with a superior experience. This way, Amazon will be involved in every purchase made.
Although Amazon has been accused of unethical business practices, it remains one of the largest online marketplaces in the world. It has over 9.5 million registered online sellers globally, with more than half being third-party sellers.
In February 2021, Amazon announced that Jeff Bezos stepped down as CEO to become the Executive Chair of Amazon’s Board.
Andy Jassy is Amazon’s current CEO. He was previously the CEO of Amazon Web Services, a secure cloud services platform.
Over the years, Amazon.com inc has expanded into many different product categories. Starting from books, Amazon now offers groceries, electronics, clothing, movies, TV shows, and video games.
With over 40 subsidiaries, Amazon.com inc is now one of the largest companies in the world, thanks to its technological innovation. According to Inc., Amazon has bought or made investments in at least 128 companies, and of course won’t stop making other acquisitions.
While this article isn’t a complete list of Amazon subsidiaries, it shows just how much of the market Amazon has covered so far. Startups or growing businesses may find this list helpful in determining if there’s a chance Amazon will buy you or shut you down in the future.
But for now, Amazon remains an excellent platform to earn money and expand your business. You can start by reading our article on making passive income on Amazon. Good luck.