By the end of 2021, Argo AI plans to begin last-mile deliveries for Walmart using automated Ford Escapes in Miami, Austin and Washington DC
A robust cloud platform that enables partners to summon vehicles quickly to do a task and then move on can go a long way to achieving that high utilization. ArgoWatch is intended to enable this capability, much like the Uber and Lyft platforms do currently in connecting human drivers with either passengers or businesses that need products delivered.
Argo will be using the same fleet of vehicles for the Lyft and Walmart operations so it’s possible that one of the Ford Escape hybrids could drop off a passenger, be summoned to a nearby Walmart where it will be loaded with an order to deliver and then go to pick up another passenger for a ride.
According to Cynthia Kwon, VP of strategy and business development at Argo AI, “more partners are coming.” Argo and Ford have been working extensively with local businesses in Miami and elsewhere to test delivery operations. Making the AV fleet available to as many users as possible will contribute to vehicle utilization. Kwon isn’t committing to any specific timeline at this point, saying that this will be a “phased launch.
Last mile deliveries probably won’t be the only use case for Argo. Like Gatik, middle mile deliveries between stores and distribution centers are another prime market for AVs. Ford has commercial vehicles that are ideally suited to this use case in the Transit and Transit Connect vans and both seem like likely candidates for automation. In fact something like the next-generation Transit Connect would be a prime candidate to eventually replace the Escape.
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