Walmart invests $6bn to automate distribution centres

Walmart has announced plans to invest around $6 billion to expand automation across 25 regional distribution centres in the US as it continues to modernise its supply chain with AI and robotics.

The investment forms part of an expanded agreement with supply chain technology firm Symbotic that will introduce new automation technology across the retailer's distribution network. Walmart said the programme will also support future opportunities across its global supply chain.

The retailer plans to use the technology to improve ecommerce inventory management, increase storage capacity and streamline the movement of products through its distribution centres. It expects the investment to help it offer customers a broader product range, improve replenishment and increase delivery speeds.

The agreement includes an initial commitment of approximately $6 billion over several years across multiple locations.

The automation solution includes AI-powered warehouse technology for case picking and ecommerce fulfilment. The software coordinates and optimises the movement of products through distribution centres to improve efficiency, according to Walmart.

Symbotic, which will be providing the technology, has worked with the retailer for more than a decade.

Rob Montgomery, executive vice president for Walmart US supply chain operations, said: "At Walmart, we're focused on bringing more items to more customers and members, faster than ever. Our investments in the physical and digital supply chain help us serve them however they choose to shop, whether in stores, at the curbside or at home.

"Our work with Symbotic over the years, including this expanded agreement, helps us improve service, grow capacity, simplify work for our associates and lower costs."



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