Amazon just entered the meal delivery business. That could be bad news for OrderUp

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Authored by: James Briggs, Baltimore Business Journal

Amazon Prime Now is no longer just about Amazon.

Amazon.com Inc. is expanding its one-hour service to include delivery from local stores. The expanded service is only being offered in New York City, for now, but a spokesman for the company said Amazon plans to bring it to Baltimore as well.

That could be bad news for OrderUp Inc., a fast-growing Baltimore food delivery startup. OrderUp's logo has become ubiquitous around Baltimore as more restaurants partner with the company to offer delivery. But Amazon is edging into OrderUp's business.

New Yorkers who subscribe to Prime, for instance, can now order products from grocers including D’Agostino and Gourmet Garage, as well as Billy’s Bakery in Manhattan. Amazon seems to be more focused on providing access to stores than restaurants, but it is nonetheless promising meal delivery as part of its expanded services.

OrderUp, based in the Can Company building in Canton, has about 70 employees in Baltimore and has been rapidly expanding to new markets.

A Prime membership costs $99 a year. Amazon (NASDAQ: AMZN) in December launched Prime Now, which offers free two-hour delivery and one-hour delivery with a fee for Prime members. Amazon brought Prime Now to Baltimore in March. The company did not announce a timetable for bringing local store and meal delivery to Baltimore.