Fintech & Ecommerce

Amazon Uses AI to Speed Up Delivery

The media reports that Amazon has integrated artificial intelligence into its inventory system to speed up the process of delivering goods to customers.

Amazon Uses AI to Speed Up Delivery

Source: Pixabay.com

Stefano Perego, Amazon’s vice president of customer relations and global operational services in North America and Europe, said during a conversation with media representatives that the company uses AI-based tools to determine the locations of stocks of goods. He noted that artificial intelligence solves a complex problem concerning the placement of inventory in such a way that the distance between the good and the customer is the minimum possible. As a result of this solution, the delivery time is reduced.

Amazon is currently working on a regionalization project. This is a program, the essence of which is to organize the process of delivering goods to customers from the warehouses closest to them, and not from another part of the country. The implementation of such an intention is facilitated by the use of technology that can study data and patterns to determine the level of regional demand for product groups.

Through the use of artificial intelligence, Amazon will be able to send goods to customers from the nearest warehouses to the destination on the day of ordering or a day later. Work in this direction is progressing successfully. Currently, more than 65% of products come to customers from sales centers located in their regions of residence.

Amazon is integrating artificial intelligence into its business structure during a period of active actions of a similar nature on the part of many technology giants. AI has been mentioned hundreds of times in recent earnings reports from Meta, Microsoft, and Alphabet.

Microsoft already licenses artificial intelligence technology, including the popular ChatGPT solution, for its line of consumer and enterprise software products.

Google CEO Sundar Pichai says that the active introduction of AI is a turning point for the technology sector. He believes that the company has the opportunity to make artificial intelligence more useful for everyone.

Vlad Tenev, co-founder and Chief Executive Officer of Robinhood Markets, is convinced that in the foreseeable future, every firm will transform into an IT company.

 

 

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.