Fred Smith, who founded FedEx Corp. and led it to become one of the world’s largest logistics companies, has died at the age of 80, the company said.
Smith launched Federal Express in 1973 with 14 small aircraft operating out of Memphis International Airport, serving 25 U.S. cities. His idea was to deliver small parcels and documents faster than the postal service by using a system of air cargo flights centered on a main hub, a model now known as the hub-and-spokes system.
Over five decades, the company grew into a global logistics provider averaging 17 million shipments per business day. It became a key player in the shift by U.S. businesses toward time-sensitive deliveries and lean inventories.
Smith remained executive chairman after stepping down as CEO in 2022.
A 1966 graduate of Yale University, Smith developed the idea for FedEx in college and later applied it after serving in the U.S. Marines, where he completed two tours in Vietnam and was decorated for bravery. He credited his military service, not his education, with teaching him how to run a company.
Smith chose the name “Federal Express” to sound important and reliable, hoping to land a contract with the Federal Reserve Bank, which ultimately did not materialize. In the early years, the company’s survival was far from guaranteed, as the concept of overnight delivery was new and costly to implement.
FedEx became a symbol of American business efficiency and economic health, with its performance often seen as a bellwether. Smith’s leadership helped establish a new industry standard for delivery and logistics.
He also had a low public profile despite his national impact. He made a brief cameo in the 2000 film “Castaway,” which centered on a FedEx employee stranded on an island.
Smith was a minority owner of the Washington Commanders NFL team until 2021. His son Arthur served as head coach of the Atlanta Falcons and is currently the offensive coordinator for the Pittsburgh Steelers.
Smith supported civic causes in Memphis, though he rarely publicized his donations. In 2023, he spoke about endowing a scholarship fund for children of Navy service members studying STEM subjects through the Marine Corps Scholarship Foundation.
He said giving back was part of a tradition of American philanthropy, and that those who had done well in the country had a duty to contribute.
