United Parcel Service
A global parcel-delivery, logistics, freight, and supply-chain management company best known for its brown delivery network and UPS brand.
Last updated November 1, 2026
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Overview
United Parcel Service, commonly known as UPS, is an American multinational company specializing in package transportation, express delivery, freight, logistics, and supply-chain management. Its corporate headquarters are in Sandy Springs, Georgia, in the Atlanta metropolitan area. The company operates a large integrated network of delivery vehicles, aircraft, sorting facilities, retail shipping locations, technology systems, and logistics assets serving customers in the United States and international markets. UPS began in Seattle in 1907, when James E. Casey and Claude Ryan founded the American Messenger Company with borrowed capital. The original business handled messenger assignments, telegram-related deliveries, and packages for local retailers. As telephone use reduced demand for traditional messenger work, the company shifted toward consolidated parcel delivery. Consolidation—grouping deliveries for nearby destinations on the same route—became a central operating principle and helped establish the efficiency model that still underpins the company. The business acquired its first delivery vehicle, a Ford Model T, in 1913 and merged with a competing operation led by Evert McCabe. It expanded beyond Seattle in 1919, when it entered Oakland, California, and adopted the name United Parcel Service. In 1922, UPS acquired a Los Angeles common-carrier business, enabling it to compete more directly with the United States Postal Service for retail parcel traffic. During the following decades, it expanded common-carrier operations to additional American cities, introduced conveyorized package handling, and resumed air service in 1953 after an earlier attempt had been curtailed by the Great Depression. UPS achieved nationwide coverage of the contiguous United States in 1975 and began international operations in Canada the same year. It subsequently developed a global air network, launched UPS Airlines in 1988, and built major hubs including Worldport at Louisville Muhammad Ali International Airport and its European hub at Cologne Bonn Airport. The company also invested heavily in operational technology, including the Delivery Information Acquisition Device, electronic package tracking, and UPS.com. Beyond traditional parcel delivery, UPS expanded into supply-chain consulting, contract logistics, freight forwarding, retail shipping, returns management, healthcare logistics, and financial services. The UPS Store network grew from the acquisition and rebranding of Mail Boxes Etc. The company also acquired businesses such as SonicAir, Challenge Air, Menlo Worldwide Forwarding, Overnite Transportation, Kiala, Roadie, Bomi Group, MNX, and Happy Returns. UPS Freight was sold to TFI International in 2021, reflecting a strategic emphasis on small-package delivery. UPS became publicly traded in 1999. Its brand identity is strongly associated with brown uniforms, vehicles, aircraft, and packaging, a visual system historically linked to reliability and operational consistency. The company serves both large enterprises and smaller merchants, with services ranging from standard ground delivery and expedited air shipping to international express, healthcare logistics, freight brokerage, supply-chain design, and retail packing and shipping. In the 2020s, UPS focused on improving profitability, serving smaller customers, modernizing its fleet and technology, expanding healthcare and returns capabilities, and managing labor, automation, sustainability, and post-pandemic volume changes.
History
UPS was founded on August 28, 1907, in Seattle as the American Messenger Company by James E. Casey and Claude Ryan. The founders began with a small, debt-financed operation focused on messenger work, telegrams, and local deliveries. Most early deliveries were made on foot, with bicycles and streetcars used for longer distances. Retail stores and the local post office became important customers. As telephones and automobiles changed communications and transportation, the company moved away from a narrow messenger model and toward parcel delivery for retailers. In 1913 it purchased a Ford Model T, and Casey and Ryan combined their business with a competitor associated with Evert McCabe. The resulting operation emphasized consolidated delivery routes, allowing multiple packages for a neighborhood to be carried by one vehicle. Charlie Soderstrom joined in 1916 and helped expand the vehicle fleet. The company opened its first location outside Seattle in Oakland in 1919 and adopted the United Parcel Service name. In 1922 it obtained common-carrier service through a Los Angeles acquisition. This status allowed UPS to consolidate shipments from different customers and compete with postal parcel services, although regulatory limits initially confined the service to the Los Angeles area. By 1927, the common-carrier network extended to communities up to 125 miles from the city. UPS introduced conveyor-belt package handling in 1924 and established a consolidated carrier operation in New York in 1930. Chicago became the first city outside California in which UPS used common-carrier authority in 1953. UPS briefly used private airlines for air delivery in 1929, but low volumes and the Great Depression ended that experiment. It resumed air service in 1953 under the Blue Label Air name, offering two-day delivery between major East Coast and West Coast cities. In 1975, the company expanded to all 48 contiguous states, becoming the first package-delivery company to serve every address in that area. It also entered Canada in 1975 and West Germany in 1976. The company’s later growth combined geographic expansion with air-network development. UPS Next Day Air launched in 1985, and UPS Airlines began operations in 1988 after receiving FAA authorization. International air service expanded to Germany in 1989. UPS moved its headquarters to Sandy Springs, Georgia, in 1991. It acquired Haulfast and Carryfast in 1992 and combined their activities under UPS Supply Chain Solutions. By 1993, the company was handling as many as 11.5 million packages and documents per day. Technology became increasingly important during this period. UPS developed the Delivery Information Acquisition Device for drivers, began electronically tracking all ground shipments in 1992, and launched UPS.com in 1994. The company expanded into service-parts logistics through SonicAir, created the UPS Logistics Group in 1995, and established UPS Capital in 1998. Challenge Air, acquired in 1999, strengthened Latin American operations. UPS went public on November 10, 1999. In the twenty-first century, UPS broadened its retail and supply-chain platform. It acquired Mail Boxes Etc. in 2001 and rebranded the network as The UPS Store in 2003. Menlo Worldwide Forwarding was acquired in 2004 and integrated into UPS Supply Chain Solutions. The purchase of Overnite Transportation in 2005 added less-than-truckload freight, later branded UPS Freight. UPS also acquired the British carrier Lynx Express in 2005, expanded service between China and the United States, and formed a cargo alliance with All Nippon Airways in 2008. UPS attempted to acquire TNT Express in 2012, but the European Commission blocked the transaction on competition grounds in 2013. The company continued smaller-scale diversification, acquiring Belgian delivery-location provider Kiala in 2012. During the late 2010s and early 2020s, it tested autonomous trucking with TuSimple, obtained FAA approval for drone operations, invested in electric-vehicle maker Arrival, and expanded healthcare and last-mile capabilities. Carol Tomé became CEO in 2020. UPS sold UPS Freight to TFI International in 2021 to concentrate more strongly on small-package delivery. It subsequently acquired Roadie, Delivery Solutions, Bomi Group, MNX, and Happy Returns, strengthening same-day delivery, retail fulfillment, healthcare logistics, time-critical transportation, and reverse logistics. In 2024, management announced substantial job cuts and office-attendance changes amid weaker and disappointing business conditions. UPS remains an active global carrier whose core identity rests on parcel delivery, integrated air and ground networks, logistics expertise, and the recognizable UPS brown brand.
- 2021
UPS Freight sold to TFI International
[1]The less-than-truckload business was sold and subsequently renamed TForce Freight.
- 2020
Carol Tomé became CEO
[1]Carol Tomé succeeded David Abney as chief executive.
- 2003
Mail Boxes Etc. rebranded as The UPS Store
[1]The company converted its acquired retail shipping network to The UPS Store brand.
- 1999
UPS became publicly traded
[1]UPS completed its initial public offering and began trading on the public market.
- 1994
UPS.com launched
[1]The company introduced a customer-facing web platform for shipment information and tracking.
- 1988
UPS Airlines launched
[1]UPS established its dedicated airline after receiving FAA authorization.
- 1985
UPS Next Day Air launched
[1]The company introduced nationwide next-day air service in the contiguous United States and Puerto Rico.
- 1975
Contiguous United States coverage achieved
[1]UPS expanded to serve every address in the 48 contiguous states and entered Canada.
- 1953
Blue Label Air service resumed
[1]UPS restarted time-definite air delivery between major coastal cities.
- 1922
Common-carrier service introduced
[1]UPS acquired a Los Angeles operation and began offering consolidated common-carrier parcel service.
Products and positioning
A reliability-focused, globally integrated delivery and logistics provider combining dense ground coverage, time-definite air services, technology-enabled tracking, and enterprise supply-chain capabilities.
Parcel delivery
UPS Ground
UPS’s core ground parcel service for domestic shipments in the United States. It uses the company’s dense road-based delivery network and is positioned for routine, time-definite package transportation rather than the premium speed of air services.
Express delivery · 1985
UPS Next Day Air
An expedited domestic air-delivery service introduced in 1985. It is designed for shipments requiring next-business-day delivery across the contiguous United States and Puerto Rico, subject to service commitments and destination conditions.
International express
UPS Worldwide Express
A family of international time-definite services connecting businesses and consumers across UPS’s global air network. Offerings vary by destination and may provide next-day or two-day delivery windows for qualifying shipments.
Supply-chain management · 1995
UPS Supply Chain Solutions
UPS’s business-to-business logistics platform, covering freight forwarding, contract logistics, distribution, customs-related support, supply-chain design, and related consulting capabilities. It was expanded through acquisitions and internal consolidation during the 1990s and 2000s.
Retail shipping · 2003
The UPS Store
A franchised retail network offering packing, shipping, printing, mailbox, and small-business services. It originated from the acquisition of Mail Boxes Etc. and adopted The UPS Store name in 2003.
Healthcare logistics
UPS Healthcare
Specialized logistics services for healthcare companies, including time-critical transportation, temperature-controlled handling, warehousing, and distribution. UPS expanded this capability through acquisitions including Bomi Group and MNX.
Air freight · 1988
UPS Airlines
UPS’s dedicated cargo airline, launched in 1988. It connects major sorting hubs and supports time-definite international and domestic parcel services, with Worldport in Louisville serving as the principal global air hub.
Controversies
2021
EEOC sues UPS alleging disability discrimination
The Equal Employment Opportunity Commission filed a lawsuit alleging that United Parcel Service fired an employee because of his diabetes. The agency is seeking back pay, damages, and injunctive relief. The allegations are presented as claims by the agency and are not described as a court determination.
1974
Pittsburgh UPS facility package-bomb explosion
A package bomb exploded at a UPS center in Pittsburgh before dawn on December 5, 1974. One person was killed and ten others were injured. The package had originated in Erie, Pennsylvania, and was addressed to a cycle shop in Armstrong County.
Marketing campaigns
- 2007UPS centennial celebration
Global
UPS marked its 100th anniversary with corporate and brand activities recognizing its development from a Seattle messenger company into a global delivery and logistics network.
Outcome. Brand heritage milestone
Brand decisions
2024
Workforce reduction and office-attendance mandateStrategyBackground
Management described 2023 as a difficult and disappointing year and sought to adjust the cost structure and working model.
Action taken
UPS announced plans to eliminate 12,000 jobs and require relevant staff to return to the office five days per week.
Aftermath
The decision reflected a broader effort to reduce costs and realign the organization after pandemic-era delivery changes.
2021
Sale of UPS FreightM&ABackground
UPS concluded that its strategic focus should center more heavily on small-package delivery rather than owning a less-than-truckload freight business.
Action taken
UPS agreed to sell UPS Freight to TFI International for $800 million; the transaction closed in April 2021 and the business became TForce Freight.
Aftermath
The divestiture simplified UPS’s portfolio while preserving freight operations under new ownership.
Purchase price. $800 million (Announced January 2021; completed April 2021)
2019
Investment in Arrival electric delivery vehiclesStrategyBackground
UPS sought to reduce emissions and modernize its vehicle fleet as urban delivery volumes increased.
Action taken
UPS invested in Arrival and ordered 10,000 Generation 2 electric vehicles for delivery operations.
Aftermath
The commitment formed part of UPS’s broader effort to deploy cleaner vehicles and technology-enabled delivery assets.
Reported value of investment and vehicle order. More than $400 million (2020–2024 reported program period)
2012
Attempted acquisition of TNT ExpressM&ABackground
UPS sought to expand its European and Asian presence through a proposed acquisition of TNT Express.
Action taken
UPS announced a planned acquisition valued at $6.8 billion, but the European Commission later blocked the transaction on competition grounds.
Aftermath
The transaction was abandoned in 2013, and UPS continued international expansion through other investments and acquisitions.
Recent events
- Unconfirmed
EEOC sues UPS alleging disability discrimination[3]
The EEOC filed a lawsuit alleging that United Parcel Service fired an employee because of his diabetes. The agency is seeking back pay, damages, and injunctive relief; the allegations are not presented as a court determination.
Sources3 sources
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