Wednesday, November 13, 2024

Exclusive-Amazon developing driver eyeglasses to shave seconds off deliveries, sources say

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By Greg Bensinger

(Reuters) – Amazon is developing smart eyeglasses for its delivery drivers to guide them to, around and within buildings, as it tries to smooth the final stretch of an order’s journey to a customer’s home, five people familiar with the matter said.

If successful, the glasses would provide drivers with turn-by-turn navigation on a small embedded screen, along their routes and at each stop, according to the people, who spoke to Reuters on condition of anonymity because the project is not public.

Such directions could shave valuable seconds off each delivery by providing left or right directions off elevators and around obstacles such as gates or aggressive dogs.

With millions of packages delivered daily, seconds add up. The glasses would also free drivers from using handheld Global Positioning System devices, allowing them to carry more packages.

The project underscores the online seller’s efforts to reduce delivery costs per package and support margins as it fights increased competition from Walmart, which has stepped up its e-commerce efforts and cut prices. Walmart is paying independent delivery drivers new incentives to deliver online orders during the holiday season, the retailer told Reuters.

Amazon’s delivery glasses, the people warned, could be shelved or delayed indefinitely if they do not work as envisioned, or for financial or other reasons. The sources said they may take years to perfect.

“We are continuously innovating to create an even safer and better delivery experience for drivers,” an Amazon spokesperson said, when asked about the driver eyeglasses. “We otherwise don’t comment on our product roadmap.”

Amazon has worked for years to develop an in-house delivery network, including its own airline, long-haul trucking and sprawling suburban warehouses. In doing so, it hopes to speed deliveries and pare expenses by reducing its reliance on couriers UPS and FedEx.

Amazon’s shipping costs rose 8% in the third quarter to $23.5 billion.

LAST 100 YARDS

The “last mile” for deliveries is costly and complicated because it requires navigating neighborhoods, deploying more couriers and using more fuel. By some estimates, half the cost of a product’s trip to a customer’s doorstep lies in the last mile.

Now Amazon has focused its attention on the “last 100 yards” (91 metres). In October, it unveiled a scanner it will install on delivery van ceilings to direct drivers to packages for each stop by shining a green spotlight on them, saving time usually spent reading labels.

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