Amazon replaces Grubhub with Uber Eats as Prime's restaurant delivery partner

Uber Eats becomes Prime's official delivery partner

Amazon has made Uber Eats its official restaurant delivery partner for Prime members in the US, replacing a Grubhub arrangement that ended the same day the new deal was announced. Prime subscribers can now order food directly through Amazon.com and the Amazon Shopping app, and according to The Verge they will pay no delivery fee on restaurant orders of $25 or more without needing to create an Uber account. TechCrunch describes the threshold as orders over $25.

As a launch promotion, the two companies are giving Prime members $20 off their first two qualifying orders during the first two weeks, TechCrunch reports.

How ordering works

The purchase happens entirely inside Amazon's app and website. Customers pay with their existing Amazon payment methods, Amazon manages the ordering flow and delivery notifications, and Uber Eats sends the final receipt. Uber frames the integration as a way to let people buy meals, groceries and everyday household items in a single place, The Verge reports.

The end of the Grubhub arrangement

Amazon first partnered with Grubhub in 2022, offering Prime members a free Grubhub+ subscription, and expanded the arrangement in 2024 into an ongoing benefit. According to TechCrunch, that later deal also let Amazon build an equity stake of up to 18% in Grubhub through its then-owner Just Eat Takeaway.com, backed by performance-based warrants. When Just Eat Takeaway moved to sell Grubhub to Wonder, Amazon elected in December 2024 to cash out those warrants.

An Amazon spokesperson told TechCrunch the commercial agreement ended Thursday and that the company continuously reassesses its third-party offers, having identified an opportunity to improve the restaurant delivery experience. Prime members who activated Grubhub+ can keep using it through December 31, 2027, even though ordering through Amazon is no longer possible.

The Verge offers two readings of the switch: Amazon may intend to work with multiple delivery apps at once, or it may have concluded that Grubhub no longer carries enough weight with Prime members to anchor the category.

What the benefit is actually worth

The Verge points out that a waived delivery fee typically saves only a few dollars per order, while service fees, local regulatory charges, driver tips and marked-up menu prices still make up most of a delivery bill. The $25 minimum also makes the perk awkward for solo diners or a casual lunch, since it can push customers to buy extra food just to avoid a small fee. Amazon and Uber estimate members could save more than $175 a year, but The Verge notes that figure assumes frequent ordering measured against paying full price every time, so reaching it would likely mean ordering takeout several times a month.

Why it matters

The deal marks Amazon's return to restaurant delivery years after it shut down its in-house Amazon Restaurants effort, reflecting a calculation that partnering is cheaper than rebuilding logistics for perishable food from scratch. For Uber, the arrangement delivers exposure to tens of millions of Prime subscribers without the cost of winning them through app-store advertising, and it arrives as the competitive landscape shifts, with rivals DoorDash and Instacart combining. For Grubhub, losing Prime distribution is another step down for a service that once sat at the centre of Amazon's food strategy. The partnership also deepens an existing Amazon-Uber relationship that, according to TechCrunch, already spans cloud computing, Zoox robotaxis and Uber Eats integration into the Alexa+ assistant. More broadly, it shows how much distribution leverage Amazon brings to a partner, and how quickly it can redirect that leverage elsewhere when a deal stops earning its place in the Prime bundle.