Amazon announced it was closing its textile online store subsidiary fabric.com, which had been in operation for nearly 30 years. The latest step taken by the online retail giant is to cut operational costs. On Saturday (10/22/2022), in a fabric.com post on its website, fabric.com said it would no longer sell products and directed customers to shop on Amazon instead. Thursday is the last day customers can order on the fabric site. Amazon spokeswoman Betsy Harden said as part of Amazon's regular business planning, they are continuing to evaluate and have made the decision to close fabric.com.

It's not clear how many fabric.com employees will be affected by the shutdown. Harden said Amazon will work with staff to help them identify other opportunities at the company, including in nearby warehouses. Meanwhile, employees who decide or decide not to stay with Amazon will be given severance pay.

Fabric.com is based in Georgia and was first founded in 1993 under the name Phoenix Textiles Group. The company operated as a wholesale distributor of clothing fabrics for several years before launching its own website and starting selling goods directly to consumers.

In 2008, Amazon acquired this clothing fabric wholesale distributor company. At the time, Amazon said it would help the fabric site expand its selection of goods and allow Amazon to offer its customers more supplies of sewing and crafting tools.

The fabric.com shutdown comes as Amazon seeks to cut costs amid concerns about the economy and sluggish online sales. Even in recent months, Amazon has shut down its hybrid virtual care service at home Amazon Care. Amazon has also implemented a hiring freeze on the corporate side of its retail business and halted several other projects.