Walmart Tests Drone Delivery Amid Escalating Competition With Amazon
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Walmart Inc. is entering the drone delivery wars, its latest move to counter Amazon.com Inc.鈥檚 dominance in e-commerce as more Americans choose to shop from home.
The world鈥檚 largest retailer said it has started piloting drone delivery of grocery and household items from its stores in Fayetteville, N.C. The automated drones are from startup Flytrex Aviation Ltd., and can fly about 6.2 miles carrying packages up to 6.6 pounds, .
The move follows Walmart鈥檚 attempt to counter Amazon鈥檚 popular Prime service with its own membership offering, dubbed Walmart+, which debuts Sept. 15 and costs $98 a year. The two rivals have both acquired millions of customers during the pandemic thanks to their low prices and convenient shopping options, and the key now is to hold onto them by making it even easier to purchase the millions of items they carry.
Today, we're announcing a new pilot with , an end-to-end drone delivery company. We鈥檙e looking forward to learning how these technologies can help us better serve our customers. 鈥 Walmart Inc. (@WalmartInc)
鈥淲e know that it will be some time before we see millions of packages delivered via drone,鈥 Tom Ward, Walmart鈥檚 senior vice president of customer products, said . 鈥淭hat still feels like a bit of science fiction, but we鈥檙e at a point where we鈥檙e learning more and more about the technology that is available and how we can use it to make our customers鈥 lives easier.鈥
Walmart first mentioned that it was testing drones at an investor meeting in October 2017, and in February said that it had drones 鈥渇lying around鈥 in some of its Sam鈥檚 Club warehouse locations to help manage inventory.
Walmart ranks No. 3 on the Transport Topics Top 100 list of the听largest private carriers in North America.
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