Walmart’s CEO, John Furner, announced a new investment in DroneUp, a nationwide drone services provider, to advance their goal of providing fast, efficient delivery solutions for customers. The partnership was forged after successful trials of drone deliveries for at-home COVID-19 self-collection kits proved the potential for rapid, scalable last-mile solutions. DroneUp, which operates an on-demand drone delivery network and houses over 10,000 FAA certified pilots, will assist Walmart in leveraging its existing infrastructure, which includes 4,700 stores within 10 miles of 90% of the U.S. population. This move aligns with Walmart’s recent investments in emerging technologies, like autonomous vehicle company Cruise, to revolutionize retail delivery. The collaboration between DroneUp and Walmart could potentially open up new opportunities for startups in Hampton Roads and other areas to innovate in the drone delivery services sector.
Introduction
June 17, 2021
By John Furner, CEO and President, Walmart U.S.
Partnership with DroneUp
In our ongoing effort to get customers the items they want, and fast, we know it will take a well-coordinated network of delivery solutions that span the streets, sidewalks and skies. Some of these solutions are still emerging, but they’re already showing encouraging results.
Investment in DroneUp
Last year, we partnered with DroneUp, a nationwide drone services provider, to launch trial deliveries of at-home COVID-19 self-collection kits. The trial demonstrated we could offer customers delivery in minutes versus hours. Now, after safely completing hundreds of drone deliveries from Walmart stores, we’re making an investment in DroneUp to continue our work toward developing a scalable last-mile delivery solution.
DroneUp Operations
DroneUp operates an on-demand drone delivery network that matches their database of more than 10,000 Federal Aviation Administration (FAA) certified pilots to missions nationwide. Since partnering with DroneUp last year, we’ve valued their technological expertise, world-class operations and experienced management team – and their commitment to helping the FAA ensure the highest levels of safety with every delivery.
Walmart’s Infrastructure and Future Plans
Walmart already has a significant part of the infrastructure in place – 4,700 stores stocked with more than 100,000 of the most-purchased items, located within 10 miles of 90% of the U.S. population. This makes us uniquely positioned to execute drone deliveries, which is why our investment in DroneUp won’t just apply to the skies but also the ground. In the coming months we’ll be beginning our first operation at a store in Bentonville, Arkansas.
Other Technological Investments
In April, we announced a similar investment in Cruise, an all-electric autonomous vehicle company. Through these commitments, we’re learning how these technologies can get customers the items they need.
Conclusion
Conducting drone deliveries at scale is within reach. DroneUp’s expertise, combined with our retail footprint and proven history of logistics innovation, puts us right where we want to be for that day. Because when it comes to the future of drone delivery, we know the sky’s the limit.
Question & Answer
1. What recent investment did Walmart’s CEO announce in the drone services sector?
Walmart’s CEO, John Furner, announced a new investment in DroneUp, a nationwide drone services provider, to advance their goal of providing fast, efficient delivery solutions for customers.
2. How did the successful trials of drone deliveries impact Walmart’s decision to partner with DroneUp?
The successful trials of drone deliveries for at-home COVID-19 self-collection kits proved the potential for rapid, scalable last-mile solutions, leading Walmart to partner with DroneUp.
3. What infrastructure advantage does Walmart have for executing drone deliveries?
Walmart has 4,700 stores within 10 miles of 90% of the U.S. population, making them uniquely positioned to execute drone deliveries efficiently.
