US online retail giant Amazon has invested $25 million in Rappi, one of Latin America’s fastest-growing last-mile delivery startups—a move widely seen as a strategic challenge to MercadoLibre, the region’s dominant e-commerce player. Under the terms of the deal, Amazon has the option to acquire up to 12% of Rappi’s equity. The partnership allows Amazon to integrate its retail and technology infrastructure with Rappi’s logistics network, significantly boosting its competitiveness across Latin America’s rapidly expanding online retail market. Rappi uses Amazon Web Services, and in Mexico, Prime members receive free delivery for a year via Rappi. Beyond delivery, Rappi has diversified into restaurant services and financial products, offering a digital wallet, credit cards, and savings accounts across multiple markets.