Touch the Soil News #791 (Feature photo – CC SA 4.0)
Both Amazon and Wal-Mart have filed patents for airborne blimps that serve as mobile warehouses. From these airborne warehouses, drones will descend upon the Earth with instant on-location deliveries of everything including food. It appears to be the tip of a race between these two mega-companies fighting every way they can to gain market share.
At present, it is not legal to launch drones from planes or even to fly over people. The Federal Aviation Administration has lots of issues with the process that are far from being ironed out and both Wal-Mart and Amazon also have lots of details to iron out.
When contemplating the future of food, both of these companies will play a role. For comparison, Wall Street values Wal-Mart at $237 billion, while Amazon is valued at $455 billion. However, when it comes to what matters – sales and net income, Wal-Mart trounces Amazon. For the second quarter, Amazon had sales of $35 billion and net income of a paltry 197 million. Wal-Mart for the second quarter had sales of $124.4 billion (3.5 times that of Amazon) and net income of $2.9 billion (almost 15 times that of Amazon). In the end, many of the largest institutional investors in Wal-Mart and Amazon are one and the same.