Amazon And Fedex Drive AI-Powered Logistics Revolution
Amazon and FedEx are leading a new wave of automation in logistics, integrating AI and robotics to boost efficiency, accuracy and customer satisfaction across their global operations.
Amazon recently unveiled a US$ 300 million, 2.8 million-square-foot AI-enabled logistics hub in Charlton, Massachusetts. The facility, which employs over 1,000 people and hundreds of robots, handles more than 30 million items and plays a critical role in Amazon’s first-mile operations. Governor Maura Healey praised the centre as a major win for economic development in rural Massachusetts. The robots can lift up to 1,500 pounds, streamlining picking and packing alongside human workers.
Despite embracing automation, Amazon CEO Andy Jassy has acknowledged that generative AI may reduce some corporate roles. Still, the company has invested over US$ 1.2 billion since 2020 to upskill workers in robotics and engineering.
FedEx is also advancing its automation strategy, deploying AI-powered robotic arms at its Cologne, Germany, air hub, its first European implementation. These robots can sort up to 1,000 parcels per hour, relieving physical workloads for over 900 employees. Similar systems are already in use at 17 U.S. facilities and hubs in China and Singapore.
FedEx’s Boris Stoffer emphasized the dual benefits: operational efficiency and improved employee experience. As AI reshapes logistics, both companies are striving to balance innovation with workforce support marking a pivotal shift toward smarter, more scalable global supply chains.
