Walmart and Wing expand drone delivery to five more U.S. cities

Wing, the drone delivery service under Alphabet's umbrella, is set to significantly expand its operations in collaboration with Walmart. In an announcement made on Thursday, the two companies revealed plans to introduce drone delivery services to over 100 Walmart locations across five additional cities: Atlanta, Charlotte, Houston, Orlando, and Tampa. This expansion also includes enhancing drone delivery in the Dallas-Fort Worth area, which serves as Walmart's initial market for this service. Greg Cathey, Senior Vice President of Walmart’s U.S. Transformation and Innovation division, emphasized that drone delivery is a crucial element of Walmart's mission to innovate retail. "We’re pushing the boundaries of convenience to better serve our customers, making shopping faster and easier than ever before," Cathey stated in a blog post. This announcement marks a significant milestone for Wing, which has transitioned from a project under Alphabet X to a thriving commercial enterprise. Following a partnership with Walmart in 2023, Wing initiated a pilot program that tested on-demand drone deliveries from two Dallas-area stores, reaching approximately 60,000 homes. The operation has since expanded to 18 Walmart Supercenters in the Dallas-Fort Worth region. Wing CEO Adam Woodworth described the latest expansion as a pivotal moment for the company, moving beyond pilot programs to scale its business significantly. "We’ve always been the type of company that wants to do something well and stay focused. And so this is the next big bite at the apple. It’s a much bigger bite than we’ve taken before," Woodworth told TechCrunch. The success of the pilot program in Dallas-Fort Worth has informed Wing's retail delivery strategy, allowing them to replicate their model in new markets. While details on profitability remain undisclosed, Woodworth mentioned that the company is concentrating on scaling operations while managing expenses effectively. Wing aims to develop a business model based on small, automated, and cost-efficient drones, navigating the balance between increasing flight operations and personnel costs. In addition to retail, Wing is also expanding its services into the food delivery sector through a partnership with DoorDash. The two companies began collaborating in 2022 with drone deliveries in Australia and have since expanded their partnership into Dallas-Forth Worth and Charlotte, enhancing their service offerings in various sectors.