GeekWire reported on Tuesday that Amazon plans to close down its Amazon Restaurants food delivery service in the U.S. later this month.
Amazon Restaurants first launched in Seattle back in 2015 as a food-home delivery service for Amazon Prime members. It was expanded to more than 20 U.S. cities and later to London, though Amazon ended the program in London this past November. Last month, Amazon led a $575 million investment in British meal delivery company Deliveroo.
"As of June 24th, we will discontinue the Amazon Restaurants business in the U.S.," an Amazon spokesperson said in a statement shared with GeekWire. "Many of the small number of employees affected by this decision have already found new roles at Amazon, and others will be provided personalized support to find a new role within, or outside of, the company."
Amazon will also shut down Daily Dish, a workplace lunch delivery service that launched in 2016, on June 14, according to GeekWire.
Shares of other food-delivery companies including GrubHub (GRUB - Get Report) and Uber (UBER) , which operates Uber Eats, posted gains on Tuesday as investors savored the notion of less competition in the space from the likes of Amazon.
GrubHub rose 6.3% at $68.76 on Tuesday, while Uber gained 1.5% to $43.24.
Shares of Amazon were up 1.4% at $1,886.74