Ben Ames has spent 20 years as a journalist since starting out as a daily newspaper reporter in Pennsylvania in 1995. From 1999 forward, he has focused on business and technology reporting for a number of trade journals, beginning when he joined Design News and Modern Materials Handling magazines. Ames is author of the trail guide "Hiking Massachusetts" and is a graduate of the Columbia School of Journalism.
called Xanthus and Pegasus, saying the designs are intended to improve safety and efficiency for its sprawling buildings and enormous workforce.
The company has already deployed 800 of the Pegasus units to its facilities, a small portion of the 200,000 robotic drive units it operates globally, but one it intends to rapidly increase. Those robots are concentrated at the 50 robotic fulfillment centers Amazon operates among its global footprint of 175 fulfillment centers and more than 40 sort centers, the company said.
The launch comes as Amazon is investing heavily in its distribution network to support its April offer to upgrade the nationwide delivery terms of its Amazon Prime subscription service from two-day to next-day shipping.
In pursuit of ratcheting up its service speeds, Seattle-based Amazon has been a leader in the trend to automate fulfillment operations ever since it acquired the technology firm Kiva Systems LLC for $775 million in 2012, rebranded it as Amazon Robotics, and ceased selling its squat, orange units to competing DCs.Those Kiva robots raised the industry's bar for goods-to-person automation by cruising through fulfillment centers, maneuvering underneath racks of inventory, and carrying those loaded shelves to warehouses laborers who would pick and pack individual items for shipping to consumers' homes.
However, the latest units follow a different workflow pattern than Kiva, the company said at its re: MARS conference in Las Vegas this week. The Xanthus model is the company's "first major redesign of our core drive-based robot," creating a common, sled-based foundation that serves as a mobile, modular base that can carry a wide range of potential attachments, according to Amazon.
In an address from the conference stage, Amazon's vice president of robotics, Brad Porter, said the Xanthus model has a much thinner profile than the Kiva unit, with one-third the number of parts, one-half the cost, easier maintenance, and the same safety features. That versatility will allow Amazon to customize solutions to specific needs within each building and install them without significant redesign, the company said. In Las Vegas, Amazon demonstrated attachments called the Xanthus Sort Bot and Xanthus Tote Mover, while promising many more variations to follow.
Amazon's senior vice president of operations, Dave Clark, also posted a short video yesterday of some Xanthus modular drive units operating in an Amazon sort-center.
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In another development, Amazon unveiled its Pegasus drive unit, saying the product is bringing robotics to its sortation buildings for the first time. Pegasus also moves beyond the Kiva model, thanks to its ability to sort and route individual packages instead of moving tall storage pods, while maintaining the core technology of the Amazon Robotics storage floors, the company said.
The Pegasus robots also calculate the most efficient route for each drive unit to avoid traffic jams on the sortation floor, maximize throughput, improve quality control, and maximize sort density. The operation is all monitored by an Amazon employee in a new job position called the "flow control specialist," responsible for managing inbound and outbound package volume and distribution, Amazon said.
The impact of adding these robotics and new technologies to its operations network could improve both the customer experience and employees' experience, the company said. "We are always testing and trialing new solutions and robotics that enhance the safety, quality, delivery speed and overall efficiency of our operations," an Amazon spokesperson said in a statement. "Our new Pegasus drive units help to reduce sort errors, minimize damage, and speed up delivery times. The Xanthus family of drives brings an innovative design, enabling engineers to develop a portfolio of operational solutions, all off the same hardware base through the addition of new functional attachments."
Amazon's new Xanthus and Pegasus bots arrive on the logistics scene at a time when many competing retailers and third party logistics providers (3PLs) have been developing their own versions of robots designed for fast, accurate fulfillment. As opposed to Amazon's approach of privatizing its robotic development, these firms offer a wide range of models to fit nearly any size and type of operation, ranging from autonomous mobile robots (AMRs) from vendors such as Locus Robotics, Fetch Robotics, and GreyOrange to piece-picking arms from RightHand Robotics and inVia Robotics, and integrated systems and networks from Berkshire Grey and MonarchFx.
The Port of Oakland has been awarded $50 million from the U.S. Department of Transportation’s Maritime Administration (MARAD) to modernize wharves and terminal infrastructure at its Outer Harbor facility, the port said today.
Those upgrades would enable the Outer Harbor to accommodate Ultra Large Container Vessels (ULCVs), which are now a regular part of the shipping fleet calling on West Coast ports. Each of these ships has a handling capacity of up to 24,000 TEUs (20-foot containers) but are currently restricted at portions of Oakland’s Outer Harbor by aging wharves which were originally designed for smaller ships.
According to the port, those changes will let it handle newer, larger vessels, which are more efficient, cost effective, and environmentally cleaner to operate than older ships. Specific investments for the project will include: wharf strengthening, structural repairs, replacing container crane rails, adding support piles, strengthening support beams, and replacing electrical bus bar system to accommodate larger ship-to-shore cranes.
The Florida logistics technology startup OneRail has raised $42 million in venture backing to lift the fulfillment software company its next level of growth, the company said today.
The “series C” round was led by Los Angeles-based Aliment Capital, with additional participation from new investors eGateway Capital and Florida Opportunity Fund, as well as current investors Arsenal Growth Equity, Piva Capital, Bullpen Capital, Las Olas Venture Capital, Chicago Ventures, Gaingels and Mana Ventures. According to OneRail, the funding comes amidst a challenging funding environment where venture capital funding in the logistics sector has seen a 90% decline over the past two years.
The latest infusion follows the firm’s $33 million Series B round in 2022, and its move earlier in 2024 to acquire the Vancouver, Canada-based company Orderbot, a provider of enterprise inventory and distributed order management (DOM) software.
Orlando-based OneRail says its omnichannel fulfillment solution pairs its OmniPoint cloud software with a logistics as a service platform and a real-time, connected network of 12 million drivers. The firm says that its OmniPointsoftware automates fulfillment orchestration and last mile logistics, intelligently selecting the right place to fulfill inventory from, the right shipping mode, and the right carrier to optimize every order.
“This new funding round enables us to deepen our decision logic upstream in the order process to help solve some of the acute challenges facing retailers and wholesalers, such as order sourcing logic defaulting to closest store to customer to fulfill inventory from, which leads to split orders, out-of-stocks, or worse, cancelled orders,” OneRail Founder and CEO Bill Catania said in a release. “OneRail has revolutionized that process with a dynamic fulfillment solution that quickly finds available inventory in full, from an array of stores or warehouses within a localized radius of the customer, to meet the delivery promise, which ultimately transforms the end-customer experience.”
Commercial fleet operators are steadily increasing their use of GPS fleet tracking, in-cab video solutions, and predictive analytics, driven by rising costs, evolving regulations, and competitive pressures, according to an industry report from Verizon Connect.
Those conclusions come from the company’s fifth annual “Fleet Technology Trends Report,” conducted in partnership with Bobit Business Media, and based on responses from 543 fleet management professionals.
The study showed that for five consecutive years, at least four out of five respondents have reported using at least one form of fleet technology, said Atlanta-based Verizon Connect, which provides fleet and mobile workforce management software platforms, embedded OEM hardware, and a connected vehicle device called Hum by Verizon.
The most commonly used of those technologies is GPS fleet tracking, with 69% of fleets across industries reporting its use, the survey showed. Of those users, 72% find it extremely or very beneficial, citing improved efficiency (62%) and a reduction in harsh driving/speeding events (49%).
Respondents also reported a focus on safety, with 57% of respondents citing improved driver safety as a key benefit of GPS fleet tracking. And 68% of users said in-cab video solutions are extremely or very beneficial. Together, those technologies help reduce distracted driving incidents, improve coaching sessions, and help reduce accident and insurance costs, Verizon Connect said.
Looking at the future, fleet management software is evolving to meet emerging challenges, including sustainability and electrification, the company said. "The findings from this year's Fleet Technology Trends Report highlight a strong commitment across industries to embracing fleet technology, with GPS tracking and in-cab video solutions consistently delivering measurable results,” Peter Mitchell, General Manager, Verizon Connect, said in a release. “As fleets face rising costs and increased regulatory pressures, these technologies are proving to be indispensable in helping organizations optimize their operations, reduce expenses, and navigate the path toward a more sustainable future.”
Businesses engaged in international trade face three major supply chain hurdles as they head into 2025: the disruptions caused by Chinese New Year (CNY), the looming threat of potential tariffs on foreign-made products that could be imposed by the incoming Trump Administration, and the unresolved contract negotiations between the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance (USMX), according to an analysis from trucking and logistics provider Averitt.
Each of those factors could lead to significant shipping delays, production slowdowns, and increased costs, Averitt said.
First, Chinese New Year 2025 begins on January 29, prompting factories across China and other regions to shut down for weeks, typically causing production to halt and freight demand to skyrocket. The ripple effects can range from increased shipping costs to extended lead times, disrupting even the most well-planned operations. To prepare for that event, shippers should place orders early, build inventory buffers, secure freight space in advance, diversify shipping modes, and communicate with logistics providers, Averitt said.
Second, new or increased tariffs on foreign-made goods could drive up the cost of imports, disrupt established supply chains, and create uncertainty in the marketplace. In turn, shippers may face freight rate volatility and capacity constraints as businesses rush to stockpile inventory ahead of tariff deadlines. To navigate these challenges, shippers should prepare advance shipments and inventory stockpiling, diversity sourcing, negotiate supplier agreements, explore domestic production, and leverage financial strategies.
Third, unresolved contract negotiations between the ILA and the USMX will come to a head by January 15, when the current contract expires. Labor action or strikes could cause severe disruptions at East and Gulf Coast ports, triggering widespread delays and bottlenecks across the supply chain. To prepare for the worst, shippers should adopt a similar strategy to the other potential January threats: collaborate early, secure freight, diversify supply chains, and monitor policy changes.
According to Averitt, companies can cushion the impact of all three challenges by deploying a seamless, end-to-end solution covering the entire path from customs clearance to final-mile delivery. That strategy can help businesses to store inventory closer to their customers, mitigate delays, and reduce costs associated with supply chain disruptions. And combined with proactive communication and real-time visibility tools, the approach allows companies to maintain control and keep their supply chains resilient in the face of global uncertainties, Averitt said.
Bloomington, Indiana-based FTR said its Trucking Conditions Index declined in September to -2.47 from -1.39 in August as weakness in the principal freight dynamics – freight rates, utilization, and volume – offset lower fuel costs and slightly less unfavorable financing costs.
Those negative numbers are nothing new—the TCI has been positive only twice – in May and June of this year – since April 2022, but the group’s current forecast still envisions consistently positive readings through at least a two-year forecast horizon.
“Aside from a near-term boost mostly related to falling diesel prices, we have not changed our Trucking Conditions Index forecast significantly in the wake of the election,” Avery Vise, FTR’s vice president of trucking, said in a release. “The outlook continues to be more favorable for carriers than what they have experienced for well over two years. Our analysis indicates gradual but steadily rising capacity utilization leading to stronger freight rates in 2025.”
But FTR said its forecast remains unchanged. “Just like everyone else, we’ll be watching closely to see exactly what trade and other economic policies are implemented and over what time frame. Some freight disruptions are likely due to tariffs and other factors, but it is not yet clear that those actions will do more than shift the timing of activity,” Vise said.
The TCI tracks the changes representing five major conditions in the U.S. truck market: freight volumes, freight rates, fleet capacity, fuel prices, and financing costs. Combined into a single index indicating the industry’s overall health, a positive score represents good, optimistic conditions while a negative score shows the inverse.