Amazon plans to dramatically expand its Prime Air drone delivery service, saying it expects to reach nearly 500 U.S. cities and towns by the end of 2026 as retailers race to make airborne deliveries a larger part of everyday shopping.

The expansion would increase Prime Air’s footprint sixfold, giving tens of millions more customers access to drone deliveries. Amazon said eligible shoppers can order millions of products, including groceries, electronics, medications and household essentials, with deliveries arriving in as fast as 30 minutes.

The announcement comes as the drone delivery industry appears poised for rapid growth. The Federal…

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