Yes, I expect this to be one of many announcements going forward, with Amazon Kuiper and OneWeb coming into the party -- eventually. However, SpaceX has the advantage of vertical integration (they launch their own rockets) which substantially helps with costs.
Also the benefit of time. Kuiper hasn't launched anything yet, and all their launchers are still in development - BOs own rocket New Glenn, Arianne 6, and ULA Vulcan. Vulcan probably isn't too far off, 2023, but they will need time to ramp up production. It'll also be a lot more expensive than for SpaceX.
Amazon will probably have to heavily subsidize Kuiper.
I reckon they hope the market is big enough for multiple providers.
