What happened to Amazon’s delivery drones?
In 2013, Amazon Inc (NASDAQ: AMZN) founder Jeff Bezos said that in just âfive years,â a significant portion of Amazon packages would be delivered by drone. However, eight years later, Prime Air has yet to take off.
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Prime Air has not yet taken place
âIt will happen, it will work and it will be extremely fun,â said the then mogul. Later, in June of last year, the company insisted the first drone delivery service was “a matter of months.”
However, eight summers have passed since the idea was put on the table, and as of August 2021, the project lies in intensive care: the newly redesigned drones still need further testing, the service does. is not fully integrated with Amazon’s warehouse systems, and regulatory hurdles are still there.
As reported by Business intern, Prime Air employees in the UK said the project was chaotic. âManagers who had no technical knowledge of drones were recruited by other areas of Amazon’s business. “
Elsewhere, the project is lagging far behind, to the point of avoiding specific time estimates. They are not known to be more successful than a handful of pilot tests in extremely controlled environments.
Former employees said Wired that Amazon was constantly shifting priorities and every few months an American executive would arrive at Amazon headquarters with pizza to double their workload.
Still, the company has managed to become a retail and tech titan thanks to AWS and its online sales which soared during the pandemic.
Additionally, through Multi-Channel Fulfillment (MFC) – a division of the Fulfillment By Amazon (FBA) program – the company pursues the logistics industry in the United States by delivering orders from registered sellers at Walmart Inc (NYSE: WMT) , eBay Inc. (NASDAQ: EBAY) and Etsy Inc (NASDAQ: ETSY).
Amazon is also threatening to become a huge entertainment freak with the $ 8.45 billion acquisition of MGM, which could portend unfair competition in the juicy streaming industry.
The company has come under fire with charges of cutting its wages every time it opens new facilities. According to The Economist, “When Amazon entered Lexington County, South Carolina, warehouse workers’ annual earnings increased from $ 47,000 to $ 32,000.”
Reveal News disclosed an investigation last September indicating that the company’s serious injury rate “was double the industry average.” When asked to comment, Amazon declined.
Amazon is part of Entrepreneurs index, which tracks 60 of the largest publicly traded companies managed by their founders or the families of their founders.