A new report from Bank of America Securities Analysts has revealed that Amazon’s push towards automation and delivery robots could save the company over $7.1 billion by 2032.
The new report comes on the heels of claims that Amazon is developing delivery robots to replace human delivery workers.
According to a source close to the matter, the e-commerce giant is developing a “humanoid park” in San Francisco to begin piloting the use of robots. However, Amazon has not confirmed any of the news shared.
BofA analysts said in a note reported by Retail Dive: “Robots present a large opportunity for retail cost savings, helping position Amazon retail as an AI play.”
Amazon also recently invested $20 million in an artificial intelligence center in Pennsylvania to develop new cloud intelligence.
“While robots are already well entrenched into Amazon’s fulfillment centers, we believe the company is still in the early innings of robotics implementation,” the note stated.
Amazon recently launched a new warehouse robot, Vulcan, as part of its broader business strategy to automate its operations.
An Amazon spokesperson said: “Our robotics solutions are designed to automate tasks in an effort to continue improving safety, reducing repetition, and freeing our employees up to deliver for customers in more skilled ways.”
Amazon also trimmed down its workforce in its books division recently as it downsizes to streamline its operations.
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