Amazon is planning to open its own grocery stores in the U.S. at a lower price point than Whole Foods, The Wall Street Journal reported Friday. The company is planning to open dozens of the stores, according to the Journal, with the first one opening in Los Angeles as early as the end of this year.
Walmart, Kroger, Target, BJs, Costco and Sprouts all dipped sharply on the news.
Amazon declined to comment on the report.
Amazon is reportedly getting ready to expand even further in early 2020 with two more leases already signed for other grocery locations. It’s unclear whether the new stores will be branded as Amazon markets, though the Journal reported the chain will be separate from the Whole Foods brand. Amazon is reportedly in talks about opening grocery stores in shopping centers based in San Francisco, Seattle, Chicago, Washington, D.C., and Philadelphia.