E-commerce giant Amazon has announced that it will start selling new cars on its platform in the United States from next year.
Amazon made the announcement at the Los Angeles Auto Show in conjunction with Hyundai, the South Korean auto giant that will be the first brand sold on the site.
The company said customers will be able to choose models and their favourite features online. They can then pick up the car at their local dealership or have it delivered to their home.
Financing options will also be available on Amazon.
"Hyundai is a very innovative company that shares Amazon's passion for trying to make customers' lives better and easier every day," said Amazon Chief Executive Andy Jassy in a statement.
“Our broad, strategic partnership should do just that, from changing the ease with which customers can buy vehicles online, to making it simple to use Alexa in Hyundai vehicles for entertainment, shopping, smart home adjustments, and calendar checks, to enabling Hyundai to transform their customer experiences and business operations by moving to AWS.”
Until now, car buyers could browse offerings on Amazon, but could not make their final purchase on the site.
The partnership with Hyundai will also see Amazon's Alexa smart speaker featured in models starting in 2025.
Even though Amazon's plan includes the cooperation of dealers, direct-to-customer sales have expanded in recent years, led by Tesla and other electric vehicle companies that do away with the traditional dealership middleman.
Carmakers like Ford are trying to use the release of EVs to loosen their dependence on dealerships that end up making a vehicle more expensive.
US companies that sell used cars online saw their share price plummet on Amazon's news.
Agence France-Presse