Business
Stamps of approval: USPS enters busy season

Stamps of approval: USPS enters busy season

12/16/23 7:00PM

Busy season

The middle 2 weeks of December often feel like a race against time, and that's particularly true for USPS: the government agency that can trace its roots back to before the very founding of the United States itself.

Indeed, between Thanksgiving and Christmas, USPS is at its busiest. At the time of writing (Sunday morning) its online tracker has already clocked over 9.04 billion items of mail and packages accepted this holiday season, relying on its 230,000-strong fleet of iconic trucks, and 500,000+ postal workers, as its little helpers.

Often known as just the Postal Service, USPS is one of the few agencies explicitly authorized by the US Constitution, holding a monopoly over the carriage of letter-mail, with records of the cost of sending letters dating all the way back to the 1800s.

In 1885, the cost to send a letter was just 2 cents an ounce, today the same privilege — after two price increases this year — will set you back 66 cents, with another price increase slated for 2024. For much of the last century, any hikes have broadly mirrored inflation, however, since 1958, the price of letter-sending has outstripped the wider CPI index.

Stamps of approval

Although we take it for granted today, the very concept of prepayment through stamps is critical. Before prepaid stamps, recipients would foot the delivery bill for the item they were receiving, causing delays, and many simply having to refuse the letter they were set to receive. And so, in 1855, universal prepayment became mandatory for delivery across the country, with the first stamp costing between 5 and 10 cents, depending on the weight and distance.

If you’re someone who sends Christmas or holiday cards, after you’ve selected that perfect card — and attempted to write something that’s not just another happy-holidays-to-you-and-yours type of message — you likely place your trust in a stamp to secure its safe passage. But, how likely is it that your mail makes it on time? About 91%, per USPS standards, with the average first-class mail piece taking 2.5 days to make it to its destination in 2022.

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Amazon is testing adding GM electric vans to its EV delivery fleet dominated by Rivian

Rivian may have some competition in its electric delivery van division: Bloomberg reports that Amazon is testing a small number of GM’s BrightDrop vans for its fleet.

According to Amazon, the test currently only includes a dozen of the vehicles. Amazon’s fleet also contains EVs from Ford, Stellantis, and Mercedes-Benz.

GM debuted BrightDrop in 2021, but the vehicles have struggled to sell and piled up on GM lots due to high prices and steep competition. GM began offering up to 40% rebates on the vehicles this year.

The test comes as Rivian struggles through tariffs and the end of EV tax credits. Earlier this year, it lowered its annual delivery outlook by about 13%. As of June, Amazon said it has more than 25,000 Rivian vans across the US. Earlier this week, Rivian CEO RJ Scaringe said the company is still on track to deliver 100,000 vans to Amazon by 2030 and is “thinking about what comes beyond” that initial target.

GM has sold 1,592 BrightDrop vans through the first half of the year, more than the full-year total it sold in 2024.

GM debuted BrightDrop in 2021, but the vehicles have struggled to sell and piled up on GM lots due to high prices and steep competition. GM began offering up to 40% rebates on the vehicles this year.

The test comes as Rivian struggles through tariffs and the end of EV tax credits. Earlier this year, it lowered its annual delivery outlook by about 13%. As of June, Amazon said it has more than 25,000 Rivian vans across the US. Earlier this week, Rivian CEO RJ Scaringe said the company is still on track to deliver 100,000 vans to Amazon by 2030 and is “thinking about what comes beyond” that initial target.

GM has sold 1,592 BrightDrop vans through the first half of the year, more than the full-year total it sold in 2024.

business

Paramount Skydance reportedly preparing an Ellison-backed Warner Bros. Discovery takeover bid, sending shares soaring

Paramount Skydance is preparing a majority cash bid for Warner Bros. Discovery, The Wall Street Journal reported, sending shares of both companies surging. The Journal’s sources say the deal is backed by the Ellison family, led by David Ellison.

WBD shares were up 30% on the report, while Paramount Skydance jumped 8%.

The offer would cover WBD’s entire business — cable networks, movie studios, the whole enchilada. That comes after WBD announced plans last year to split into two divisions: one for streaming and studios, the other for its traditional cable and TV assets. A recent Wells Fargo note gave WBD a price target hike, primarily because the analysts viewed it as a prime takeover candidate.

If the deal goes through, it would bring together HBO, CNN, DC Studios, and Warner Bros.’ film library with Paramount+, Nickelodeon, and MTV, all under one umbrella.

The offer would cover WBD’s entire business — cable networks, movie studios, the whole enchilada. That comes after WBD announced plans last year to split into two divisions: one for streaming and studios, the other for its traditional cable and TV assets. A recent Wells Fargo note gave WBD a price target hike, primarily because the analysts viewed it as a prime takeover candidate.

If the deal goes through, it would bring together HBO, CNN, DC Studios, and Warner Bros.’ film library with Paramount+, Nickelodeon, and MTV, all under one umbrella.

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