An Amazon delivery drone is on display at Amazon’s BOS27 Robotics Innovation Hub in Westborough, Massachusetts, on Nov. 10, 2022.
Joseph Prezioso | AFP | Getty Images
On a recent weekday morning, John Case heard a familiar buzzing outside his quiet suburban home in College Station, Texas. He recognized it immediately as one of Amazon‘s Prime Air drones, whizzing by on its delivery route to unload small packages of batteries, vitamins and dog treats.
“It sounds like a giant hive of bees,” Case, a semi-retired orthodontist, said in an interview. “You know it’s coming because it’s pretty loud.”
Case has lived in College Station for the past 40 years. The drones are a common sight when he and his wife go on their regular walks around the neighborhood. Nurses, police officers and firefighters who work the nightshift talk about it disrupting their sleep during the day, Case said.
Noise complaints are just the latest challenge for Amazon’s drone program that’s been struggling to get off the ground since the company started testing deliveries in 2022. A mix of regulatory hurdles, missed deadlines and layoffs last year, coinciding with widespread cost-cutting efforts by CEO Andy Jassy, has halted progress of the ambitious service, which was conceived of by Amazon founder Jeff Bezos more than a decade ago.
College Station, located about 100 miles northwest of Houston, has been the main testing ground for Prime Air, as Amazon tries to show it can ferry packages by unmanned aircraft to residents’ homes in under an hour. Lockeford, California, south of Sacramento, was supposed to be another test market, but Amazon shuttered its operation there in April. The company is seeking approval from regulators to start deliveries in Tolleson, Arizona, west of Phoenix.
As Amazon prepares to scale up Prime Air and expand it to more areas, it’s encountering another reason why that won’t be so easy. In a July letter to the Federal Aviation Administration, College Station Mayor John Nichols wrote that residents in his city, home to Texas A&M University, have grown tired of the drones loudly buzzing near their homes.
“Since locating in College Station, residents in neighborhoods adjacent to Prime Air’s facility have expressed concern to the City Council regarding drone noise levels, particularly during take-off and landing, as well as in some delivery operations,” Nichols wrote.
Nichols’ letter followed a proposal from Amazon to the FAA to allow the company to increase deliveries to 469 flights per day, up from its current level of 200 flights per day. Amazon is asking for the ability to operate between 7 a.m. and 10 p.m., rather than being limited to daylight hours as the program is today, and to expand its delivery area to up to 174 square miles surrounding the company’s drone port, up from its current operating range of 44 square miles.
A month before Amazon’s request to the FAA, residents appealed to local legislators to intervene in the company’s expansion plans. At a city council meeting in June, Ralph Thomas Moore, whose neighborhood is “less than 500 feet away from the launch pad,” played a recording of a chainsaw to illustrate the noise level of the drones.
If Amazon gets its wish, there would be up to 940 combined takeoffs and landings, all so the drones can deliver one package at a time, weighing no more than five pounds, Moore said at the meeting.
“This is what Amazon is asking the FAA to approve,” he said. “This is a huge invasion of our personal space and has significant impact on everyone in the neighborhood.”
Bryan Woods, College Station’s city manager, said at the meeting that city officials ran tests of a Prime Air drone and found it had noise levels between 47 and 61 decibels. According to the Occupational Safety and Health Administration, chainsaws are typically measured at 125 decibels and heavy equipment at 95 to 110 decibels.
Prime Air is part of Amazon’s effort to find a quicker, more cost-effective solution for the so-called last mile, or the part of the delivery that gets the package from the warehouse to the customer’s doorstep. Proponents say drone delivery can potentially offset the cost of maintaining a fleet of delivery drivers, while cutting down on the need for gas-guzzling delivery vans. That’s assuming Amazon can ever turn it into a service for the masses.
In May, Amazon notched a key milestone when the FAA said it would allow the company to fly its delivery drones over longer distances and without staffers on the ground observing each flight. Amazon heralded the announcement and said it “lays the foundation” for the service to reach new markets.
Sam Stephenson, an Amazon spokesperson, told CNBC in a statement, “We appreciate the community of College Station and take local feedback into account wherever possible when making operational decisions for Prime Air. We’re proud of the thousands of deliveries we’ve made and the hundreds of customers we deliver to.”
‘Fantastic technology, wrong location’
Amina Alikhan likened the drones to “a fly coming by your ear over and over and you can’t make it stop.”
“It is waking us up and disrupting our ability to enjoy both our outdoor and even our indoor spaces,” said Alikhan, an internal medicine doctor who lives with her husband in a neighborhood a few hundred feet from Amazon’s drone airport in College Station.
Case said his neighbors have complained that the sound of the drones makes it hard to enjoy working in the yard or sitting on the patio. Sometimes it’s loud enough to be heard inside. Case said he wrote a letter to the College Station mayor and city council about the matter.
When the city agreed to be a test market for Amazon, “I think nobody really knew how noisy and annoying it was going to be” Case said.
Others said the drones fly alarmingly low. One resident, who serves as the head of a local homeowners association, said Amazon told those in the neighborhood that the drones would fly 400 feet or higher while in operation.
But the drones fly over residential properties at 100 feet or less, which can make it uncomfortable to even lounge by the pool, said the person, who asked not to be named to preserve her privacy.
Amazon unveiled its latest delivery drone at the re:MARS conference in Las Vegas on June 5, 2019.
Amazon
The current iteration of Amazon’s delivery drone typically cruises at an altitude of 160 to 180 feet, according to data submitted by the company to the FAA.
Amazon has said it plans to introduce a smaller, quieter drone, called the MK30, whichisexpected to start running in College Station and Phoenix once the company receives approval from the FAA.
Stephenson said the MK30 is “designed to reduce the drone’s perceived noise by almost half.” It will also fly at a higher cruising altitude of between 180 to 377 feet above ground level, except when descending to drop a package, according to the FAA.
But many residents wanted Amazon to go a step further and get out of their neighborhoods altogether. As concerns grew louder, leaders from Prime Air held a Zoom meeting on July 24 with College Station residents.
Matt McCardle, head of regulatory affairs and strategy for Prime Air, said at the meeting that the company would not renew its lease in College Station and move elsewhere by October 2025, according to a recording obtained by CNBC.
Amazon’s Stephenson confirmed that the company is “considering a variety of potential paths forward,” including the possibility of an alternate drone site.
The company has also agreed to reduce the number of flights per hour, said Bob Yancy, a College Station City Council member. He plans to propose that Amazon move its drone port to the site of a former Macy’s store that’s now owned by the city and located in a nearby shopping mall.
In April, Amazon said it plans to integrate Prime Air into its same-day delivery network, instead of building standalone drone facilities. That’s what the company is aiming to do in the Phoenix area, where its launchpad is expected to be on the same site as an Amazon warehouse known as SAZ2. A couple hundred feet from the facility is a major neighborhood called Roosevelt Park.
Yancy said at the meeting that he still likes the program, and appreciates that he’s been able to have toothbrushes, cookies and bottles of aspirin delivered to his house within an hour.
He wants Prime Air to stay in College Station. But for it to work, he said, Amazon will have to make its drones less noisy or get them far away from residents.
“I think the headline on the program is — fantastic technology, wrong location,” Yancy said.
Amazon logo on a brick building exterior, San Francisco, California, August 20, 2024.
Smith Collection | Gado | Archive Photos | Getty Images
Amazon representatives met with the House China committee in recent months to discuss lawmaker concerns over the company’s partnership with TikTok, CNBC confirmed.
A spokesperson for the House Select Committee on the Chinese Communist Party confirmed the meeting, which centered on a shopping deal between Amazon and TikTok announced in August. The agreement allows users of TikTok, owned by China’s ByteDance, to link their account with Amazon and make purchases from the site without leaving TikTok.
“The Select Committee conveyed to Amazon that it is dangerous and unwise for Amazon to partner with TikTok given the grave national security threat the app poses,” the spokesperson said. The parties met in September, according to Bloomberg, which first reported the news.
Representatives from Amazon and TikTok did not immediately respond to CNBC’s request for comment.
TikTok’s future viability in the U.S. is uncertain. In April, President Joe Biden signed a law that requires ByteDance to sell TikTok by Jan. 19. If TikTok fails to cut ties with its parent company, app stores and internet hosting services would be prohibited from offering the app.
President-elect Donald Trump could rescue TikTok from a potential U.S. ban. He promised on the campaign trail that he would “save” TikTok, and said in a March interview with CNBC’s “Squawk Box” that “there’s a lot of good and there’s a lot of bad” with the app.
In his first administration, Trump had tried to implement a TikTok ban. He changed his stance around the time he met with billionaire Jeff Yass. The Republican megadonor’s trading firm, Susquehanna International Group, owns a 15% stake in ByteDance, while Yass has a 7% stake in the company, NBC and CNBC reported in March.
— CNBC’s Jonathan Vanian contributed to this report.
A worker delivers Amazon packages in San Francisco on Oct. 24, 2024.
David Paul Morris | Bloomberg | Getty Images
Amazon on Thursday announced Prime members can access new fixed pricing for treatment of conditions like erectile dysfunction and men’s hair loss, its latest effort to compete with other direct-to-consumer marketplaces such as Hims & Hers Health and Ro.
Shares of Hims & Hers fell as much as 17% on Thursday, on pace for its worst day.
Amazon said in a blog post that Prime members can see the cost of a telehealth visit and their desired treatment before they decide to proceed with care for five common issues. Patients can access treatment for anti-aging skin care starting at $10 a month; motion sickness for $2 per use; erectile dysfunction at $19 a month; eyelash growth at $43 a month, and men’s hair loss for $16 a month by using Amazon’s savings benefit Prime Rx at checkout.
Amazon acquired primary care provider One Medical for roughly $3.9 billion in July 2022, and Thursday’s announcement builds on its existing pay-per-visit telehealth offering. Video visits through the service cost $49, and messaging visits cost $29 where available. Users can get treatment for more than 30 common conditions, including sinus infection and pink eye.
Medications filled through Amazon Pharmacy are eligible for discounted pricing and will be delivered to patients’ doors in standard Amazon packaging. Prime members will pay for the consultation and medication, but there are no additional fees, the blog post said.
Amazon has been trying to break into the lucrative health-care sector for years. The company launched its own online pharmacy in 2020 following its acquisition of PillPack in 2018. Amazon introduced, and later shuttered, a telehealth service called Amazon Care, as well as a line of health and wellness devices.
The company has also discontinued a secretive effort to develop an at-home fertility tracker, CNBC reported Wednesday.
Former U.S. Army intelligence analyst Chelsea Manning says censorship is still “a dominant threat,” advocating for a more decentralized internet to help better protect individuals online.
Her comments come amid ongoing tension linked to online safety rules, with some tech executives recently seeking to push back over content moderation concerns.
Speaking to CNBC’s Karen Tso at the Web Summit tech conference in Lisbon, Portugal, on Wednesday, Manning said that one way to ensure online privacy could be “decentralized identification,” which gives individuals the ability to control their own data.
“Censorship is a dominant threat. I think that it is a question of who’s doing the censoring, and what the purpose is — and also censorship in the 21st century is more about whether or not you’re boosted through like an algorithm, and how the fine-tuning of that seems to work,” Manning said.
“I think that social media and the monopolies of social media have sort of gotten us used to the fact that certain things that drive engagement will be attractive,” she added.
“One of the ways that we can sort of countervail that is to go back to the more decentralized and distribute the internet of the early ’90s, but make that available to more people.”
Nym Technologies Chief Security Officer Chelsea Manning at a press conference held with Nym Technologies CEO Harry Halpin in the Media Village to present NymVPN during the second day of Web Summit on November 13, 2024 in Lisbon, Portugal.
Asked how tech companies could make money in such a scenario, Manning said there would have to be “a better social contract” put in place to determine how information is shared and accessed.
“One of the things about distributed or decentralized identification is that through encryption you’re able to sort of check the box yourself, instead of having to depend on the company to provide you with a check box or an accept here, you’re making that decision from a technical perspective,” Manning said.
‘No longer secrecy versus transparency’
Manning, who works as a security consultant at Nym Technologies, a company that specializes in online privacy and security, was convicted of espionage and other charges at a court-martial in 2013 for leaking a trove of secret military files to online media publisher WikiLeaks.
She was sentenced to 35 years in prison, but was later released in 2017, when former U.S. President Barack Obama commuted her sentence.
Asked to what extent the environment has changed for whistleblowers today, Manning said, “We’re at an interesting time because information is everywhere. We have more information than ever.”
She added, “Countries and governments no longer seem to invest the same amount of time and effort in hiding information and keeping secrets. What countries seem to be doing now is they seem to be spending more time and energy spreading misinformation and disinformation.”
Manning said the challenge for whistleblowers now is to sort through the information to understand what is verifiable and authentic.
“It’s no longer secrecy versus transparency,” she added.