Walmart wants to sell its AI-powered truck routing software to other companies.
Walmart has long used a route optimization tool that uses artificial intelligence (AI) to plan more efficient routes for its delivery trucks, and on Thursday (March 14), other companies will also be using it. announced that it would be possible.
“We have invested significant time, resources and operational know-how in building solutions such as route optimization, which can be a barrier for many companies,” said Walmart Global Tech and Walmart Global Tech. said Anshu Bhardwaj, Senior Vice President and Chief Operating Officer of Commerce Technologies. news release.
“By deploying our AI-powered technology at scale, businesses can eliminate the need and expense of developing their own technology and instead focus on what they do best: serving their customers. It will be like this.”
According to the release, Route Optimization helps businesses of all sizes use AI-driven software to find the best driving routes, pack trailers efficiently, and reduce travel distances. Walmart says it has used this technology to eliminate 30 million unnecessary miles and avoid 94 million pounds of CO2.
The technology saved the company $90 million in one year, Bloomberg News reported.
As PYMNTS wrote earlier this month, the effort comes at a time when AI is the focus of a “retail tug of war” between Walmart and rival Amazon.
Amazon has recently ramped up its investment in AI, with a $1 billion innovation fund this year supporting companies that combine artificial intelligence and robotics to improve efficiency across its logistics network.
Meanwhile, Walmart’s AI push includes things like AI search, which CEO Doug McMillon talked about during a recent earnings call.
“What we’re most excited about that’s already happening is that search has improved and generative AI has helped us actually improve the solution-oriented search experience for our customers and members.” He said. “And it happened quickly.”
This tool is designed to make your shopping faster and easier. Instead of searching for different items one by one, such as snacks or party decorations, customers can now simply enter the type of event they are planning and get a list of everything they need.
As Sam’s Club President and CEO Chris Nicholas told analysts on an earnings call last month, Walmart is also leveraging AI to improve store efficiency and improve the efficiency of its Sam’s Club subsidiaries. He said that he is reducing labor costs. A chain of warehouse clubs employs computer vision to eliminate steps that require employees to check self-service customer receipts at the exit.
