Amazon adds Uber Eats benefit as DoorDash pursues Instacart

Audio By Carbonatix

(The Center Square) – Amazon added Uber Eats restaurant delivery to Prime⁠.

It comes as DoorDash pursues a $17 billion purchase of Instacart.

Prime members in America can order meals through Amazon’s website and app. Uber Eats waives delivery fees on eligible orders that are at least $25.

Members can use their Amazon accounts without downloading another app. The service covers nearly 10,000 cities and towns.

“We’re excited to connect our restaurant community with new Prime fans,” Uber President Andrew Macdonald said.

The benefit covers restaurant meals, not groceries. Customers will still pay service fees, taxes and tips.

The move replaces Amazon’s Grubhub delivery benefit⁠.

Amazon announced the deal the day after Uber CEO Dara Khosrowshahi criticized DoorDash’s proposed Instacart purchase.

Khosrowshahi told investors that merchants want many delivery partners. He said the merger would remove one option. He said that some concerned merchants contacted Uber.

“They want plenty of partners including us and DoorDash and Instacart to work with,” he said.

DoorDash and Instacart announced their agreement last week. They say their combined delivery network and grocery tools will make it easier for local stores to compete with large online retailers.

The companies said they’ll let grocers use other delivery services.

“Local grocers can work with any delivery platform they choose to help them grow,” they said.

DoorDash will keep Instacart’s brand and app. It said DashPass and Instacart+ members will only pay one membership fee instead of two once the deal closes.

Walmart also recently started offering restaurant delivery. Back in September, itannounced a Dunkin’ partnership after adding Subway meals earlier this year. Customers can order meals and groceries through Walmart’s website and app.

DoorDash and Instacart will likely close their deal in late 2027 or early 2028, they said. They need stockholder and regulatory approvals. Until then, they will operate separately.