Amazon stock plunged more than 5% on Monday after the company reported that it is delaying the launch of a drone that will allow customers to fly their own drones, according to CNBC.
Shares of Amazon fell nearly 5% in premarket trading after the news.
The stock has been down more than 10% since the company announced it plans to launch the drone in 2019.
Amazon shares have fallen as much as 30% in the last year, after the Wall Street Journal reported that Amazon will not be able to keep pace with consumer demand for drones due to restrictions imposed by the Federal Aviation Administration (FAA).
The FAA recently ruled that drone manufacturers have to build a drone to be able take off and land safely in the United States, requiring that a company can’t sell its drones without the approval of the agency.
The FAA’s rules also prohibit companies from using drones for personal or commercial purposes.
Amazon said the delay of the drone will give customers more time to get their hands on the drone, according with CNBC.
The company also said the drone is expected to be available later this year.
Amazon also said that its drone will be able fly faster and at a lower altitude, and will be capable of taking off and landing faster than drones that are currently in use, CNBC reported.
Amazon is the world’s largest online retailer, with an annual revenue of $8.7 billion.
The retailer also owns Amazon.com, which is used to ship the company’s products and also to make other services, such as Prime.
Amazon has been battling a variety of competitors over the past year as it has struggled to meet consumer demand, with some analysts predicting that the company will struggle to keep up with the rapid growth of consumer electronics.
The Amazon price drop on Monday was also one of the worst in the company since the start of the year.
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