Seems like 50% is operational expense. Not including cost of revenue

It’s about creating a monopoly. Drive normal retailers out of business with convenience and lower prices. Then once there’s no competition, they can gouge their prices with no repercussions. It’s the same strategy Walmart.

Their capital investments are obscene. Think of all the costs of setting up a fulfilment center, then multiply that by a couple hundred centres and that those centers have ongoing costs too, not just their establishment.