Amazon has launched one-hour and three-hour delivery services across hundreds of US cities, stepping up competition with retailers such as Walmart as demand for faster fulfilment intensifies.

The company announced on Tuesday that the new options are now available in major metropolitan areas including Los Angeles and Chicago, as well as smaller cities such as Boise, Idaho, with more than 90,000 products eligible for rapid delivery. The three-hour service has been rolled out to over 2,000 cities and towns nationwide.

The initiative builds on Amazon’s long-running focus on speed as a driver of customer spending and loyalty. The company has invested heavily in same-day infrastructure and recently introduced “Amazon Now”, a pilot offering delivery of groceries and essentials in 30 minutes or less in selected locations.

Udit Madan, Amazon’s senior vice president of worldwide operations, said the expansion was designed to meet changing consumer expectations. “We saw an opportunity to use our unique operational expertise and delivery network to help make customers’ lives a little easier while unlocking even more value for Prime members,” he said.

According to company statements, the faster delivery options rely on Amazon’s existing same-day network, with operational adjustments including dedicated fulfilment stations, new package labelling and updated site layouts to accelerate order processing. Customers can identify eligible products through new filters and storefront pages highlighting one-hour and three-hour delivery items.

Pricing reflects a premium for speed. Prime members pay $9.99 for one-hour delivery and $4.99 for three-hour delivery, while non-members are charged $19.99 and $14.99 respectively. Standard same-day delivery remains free for qualifying Prime orders.

CBS News reported that analysts view the move as part of a broader competitive push against traditional retailers and rapid delivery platforms. Neil Saunders, managing director at GlobalData, told CBS News that “it’s bad news for drugstores in particular”, citing Amazon’s pricing advantage on everyday essentials such as toiletries and household goods.

Competition in ultrafast delivery has intensified in recent years. Walmart has said it can reach 95 per cent of US households within three hours, while services such as Instacart, DoorDash and Uber Eats have expanded into retail categories beyond food.

Amazon said it plans to extend the one-hour and three-hour services to additional locations in the coming months, signalling further escalation in the race to shorten delivery times.

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