Extracts from an article by Mark Say, managing editor for UK Authority.
“Public procurement organisation YPO has signed Amazon to develop a Digital Marketplace for products used in a range of services.
It has awarded the digital retail giant a five-year contract valued at £400-600 million, without a full tender process after Amazon provided the only compliant expression of interest to a public information notice.
It said it believes the company’s wide range of business-to-business offerings, totalling more than 1 million products, made it the only viable contractor.
YPO, a company owned by a consortium of 13 local authorities and originating from Yorkshire, provides about 100 frameworks and a procurement channel for about 30,000 products, including IT equipment along with staples including electricity, food and insurance. It provides the service for councils, schools, charities, emergency services and commercial providers of public services such as nurseries and care homes.
Joel Pearce, head of research and partnerships at public procurement data service Tussell, said the contract marks an expansion of Amazon’s presence in the public sector market, providing a platform for authorities for a range of products.”
Read the full article on the UK Authority website.