Amazon (NASDAQ: AMZN) announced new artificial intelligence (AI) initiatives aimed at enhancing efficiency in its logistics and warehouse operations. The initiatives were unveiled in October 2023 as the company seeks to leverage AI to improve its e-commerce processes.
Key developments include the creation of advanced warehouse robots capable of understanding natural language commands, and the introduction of an AI platform named Wellspring for detailed navigation maps for drivers. Additionally, Amazon’s new Supply Chain Optimization Technology (SCOT) will utilize AI to forecast customer demand based on various factors like location and weather, ultimately aiming to improve inventory allocation and reduce costs.
Amazon’s efforts in AI are already showing promise, with its North American segment reporting a 16% increase in operating income compared to an 8% revenue rise last quarter. The company continues to invest heavily in AI across its business segments, indicating potential for significant long-term growth.
