FedEx and Berkshire Grey to Expand Robotic Automation Globally

Berkshire Grey Inc., a leader in AI-enabled robotic solutions that automate supply chain processes and FedEx Corp. have announced an expansion of their strategic relationship.

As part of the expansion of this relationship, Berkshire Grey and FedEx have entered into an agreement for new development activities that will provide broader AI robotic automation capabilities.

This will help improve the safety and efficiency of FedEx package handling operations globally.

The two companies also expect to execute a master system purchase agreement in 2022, which will streamline and expedite the procurement process for Berkshire Grey solutions across all FedEx operating companies globally.

Additionally, Berkshire Grey has granted FedEx a warrant to purchase common stock which vests incrementally, subject to certain terms including the ordering of and payment for Berkshire Grey AI-enabled robotic automation goods and services at any time prior to December 31, 2025.

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Rebecca Yeung, Corporate VP of Operations Science and Advanced Technology, FedEx said: “Our growing relationship with Berkshire Grey for robotic automation is a direct response to the growth of e-commerce, which has accelerated the demand for reliable automated solutions throughout all stages of the supply chain.

“FedEx believes that continued innovation and automation will improve efficiency, productivity and safety for its team members as they continue to keep the global supply chain moving.”

As previously announced, FedEx Ground and Berkshire Grey are already working together to deploy Berkshire Grey’s Robotic Product Sortation and Identification (RPSi) systems to robotically sort small packages that arrive daily and require distribution.

In addition to the recent installations at eight sortation facilities, including Queens, NY, Las Vegas, Nev., and Columbus, Ohio, FedEx Ground plans to have RPSi systems in place at select additional facilities in the network over the next 12 months.

The new product development agreement is an expansion of this collaboration and offers new opportunities for the two companies to work together to further increase efficiencies across the FedEx enterprise using AI-enabled robotic automation.

Tom Wagner, CEO of Berkshire Grey said: “Berkshire Grey and FedEx are strategically aligned. These new agreements reflect our mutual commitment to innovations in robotic automation that can remove barriers within the supply chain, ease the physical burden on employees and streamline operations.

“We look forward to working together on this new program and to advancing other automation programs with FedEx moving forward.”

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