Warehouses are rapidly embracing automation. While firms like Amazon are creating their own robotic fleets internally, others are seeking automation technology from external providers.

FedEx has explored both pathways and determined that collaborating with robotics firms is the optimal strategy to stay competitive in the automation arena.

FedEx’s latest multi-year alliance with Berkshire Grey, a robotics company owned by SoftBank, exemplifies this strategy: leveraging expert knowledge to design robots capable of performing repetitive, hazardous tasks traditionally handled by humans. This non-exclusive partnership has led to the creation of Scoop, a robot intended for unloading bulk packages, allowing for the removal of large quantities of parcels from trucks simultaneously.

FedEx plans to introduce these robots in its warehouses via a pilot initiative later this year. While these robots won’t service every one of FedEx’s many unloading doors, the company aims to scale the bot’s deployment if the pilot is successful.

Stephanie Cook, director of advanced technology and innovation in robotics at FedEx, shared with TechCrunch that bulk unloading ranks among the most physically demanding and unpredictable tasks within FedEx’s warehouses. This isn’t the company’s first endeavor to automate bulk unloading; Cook mentioned challenges in identifying the appropriate robot for this function.

“We haven’t found anything off-the-shelf that meets our needs,” Cook stated. “We collaborated with Berkshire Grey previously and determined it was a suitable partnership for us. We recognized that this wasn’t a project that could be developed within a few months; it was going to be a multi-year journey to achieve this.”

According to O.P. Skaaksrud, vice president of advanced technology and innovation at FedEx, bulk unloading is an ideal function for automation. Although it does require these robots to make decisions, the complexity is lower than selecting or searching for specific packages, making the process easier to automate.

“Given the diversity of package types, focusing on individual picks is simply not fast enough,” Skaaksrud explained. “That was one of the trade-offs we considered, as there are package unloaders that do single picks, but they lack the speed to handle this variety.”

Cook noted that the company is prioritizing the automation of the most hazardous and physically strenuous roles within its warehouses. These jobs are better suited for automation in general since they are often repetitive, freeing up employees to engage in safer, more skilled work.

Picking and packing partners

The Memphis-based firm does engage in in-house technology development, such as the FedEx SenseAware and SenseAware ID sensor systems, which facilitate package tracking.

However, Skaaksrud emphasized that creating sensors and developing robotics are distinct challenges.

“The development of sensor hardware for packages is complex, but advancing robotics capabilities is of an entirely different caliber,” Skaaksrud remarked. “Partnering with other companies in the field accelerates our progress. That’s how we perceive these collaborations — very advantageous for both FedEx and our partners.”

Berkshire Grey isn’t the only automation-centric partnership for FedEx. The company has secured several alliances (and conducted trials) in recent years as it aims to automate more aspects of its operations both inside and outside the warehouse.

Inside the warehouse, FedEx partners with Dexterity, a robotics startup valued at over a billion dollars that specializes in robots engineered to mimic human actions. Additionally, they have an agreement with another unicorn startup, Nimble, which focuses on creating fully autonomous warehouses.

Autonomous deliveries, whether for last-mile or long-haul, are also a key area of interest.

In 2021, the company entered into a pilot agreement with Aurora Innovation, an autonomous trucking startup, to transport packages along defined routes in Texas with self-driving trucks. The collaboration was expanded in 2022, resulting in over 3,200 successful autonomous deliveries.

FedEx also formed a partnership with Nuro, a company specializing in autonomous last-mile delivery robots, in 2021. At that time, FedEx characterized it as a long-term commitment with intentions to expand last-mile delivery capabilities. However, Nuro shifted from delivery to licensing its autonomous technology in 2025, leading to the conclusion of their collaboration.

The last-mile delivery avenue has been one that FedEx has explored internally with mixed results. The company developed and launched the SameDay Bot in 2019 to aid with last-mile delivery, but the bots faced criticism and were eventually banned from NYC by former mayor Bill de Blasio. After a few years, FedEx moved away from these efforts while reaffirming that it remains an area of focus.

Keeping it real

While the company is keen on remaining competitive in the overarching automation landscape, both Skaaksrud and Cook stressed that FedEx will not rush ahead impulsively. They are not simply chasing the next flashy robot or technology as soon as it becomes available.

“If we concentrate solely on the technology, we’ll likely fail,” Skaaksrud cautioned. “This is akin to playing 3D chess; you must address numerous components, many of which may not seem exciting, that are crucial to the overall solution. We are certainly taking steps to not only have compelling technology but also productive technology that effectively addresses business challenges.”

The company is also unconcerned that its partnership-based strategy will lead to a lack of proprietary technology. Skaaksrud posited that the hardware is merely hardware, asserting that FedEx trucks are simply trucks, and it’s the network and intelligence behind the delivery system that defines FedEx.

While headlines might suggest that every company is fervently pursuing full automation, FedEx intends to remain judicious as it introduces new technologies.

For Cook, the primary emphasis of these strategies is still on the human workforce within the warehouses, meaning technology must be crafted to complement their roles, enhancing safety and ease of work.

Consequently, and given the company’s priority on areas with clear returns on investment, humanoid robots are not a focus.

“Managing multiple humanoids in a constrained, dynamic space is quite challenging,” Skaaksrud noted. “I find humanoids to be fascinating and we’re definitely monitoring advancements, but it’s about finding the right application. You must navigate the hype as expectations can be misleading, yet there remains substantial long-term potential. Understanding limitations is crucial to setting realistic expectations.”