DroneUp and its recently unveiled delivery drones will focus on growing operations in the Dallas-Fort Worth area. [Courtesy: DroneUp]
Key Takeaways:
DroneUp, Walmart's drone delivery partner, is ceasing services in Phoenix, Salt Lake City, and Tampa, closing 18 hubs and laying off 70 employees.
The company is refocusing its efforts on the Dallas-Fort Worth area to develop and implement its new autonomous "Ecosystem" platform.
This strategic shift aims to overcome the current high cost of $30 per delivery, making drone services economically feasible and scalable.
The concentration in Dallas-Fort Worth aligns with recent FAA approvals for Beyond Visual Line of Sight (BVLOS) operations, which are expected to reduce costs and expand service capabilities.
DroneUp, the longtime drone delivery partner of Walmart, is ceasing its service in Phoenix, Salt Lake City, and Tampa, Florida, according to a new report.
The company last week told Axios it is shuttering 18 Walmart delivery hubs in those cities to focus on operations in the Dallas-Fort Worth area, which the retailer in January announced would expand to reach 1.8 million people.
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Jack is a staff writer covering advanced air mobility, including everything from drones to unmanned aircraft systems to space travel—and a whole lot more. He spent close to two years reporting on drone delivery for FreightWaves, covering the biggest news and developments in the space and connecting with industry executives and experts. Jack is also a basketball aficionado, a frequent traveler and a lover of all things logistics.
