Walmart Expands Drone Delivery Service to Compete with Amazon in North Texas

Walmart, the retail giant headquartered in Arkansas, has announced a significant expansion of its drone delivery service in North Texas, aiming to reach an additional 1.8 million households. This move is seen as a strategic response to compete with rivals such as Amazon in the rapidly growing drone delivery market.

The expansion will extend Walmart’s drone delivery coverage to 75% of households throughout the Dallas and Fort Worth area, impacting more than 30 towns and municipalities in the metroplex. The company proudly claims to be the first retailer to offer drone delivery to such a vast number of households in a single market, asserting its position as having the “largest drone delivery footprint of any U.S. retailer.”

Powered by drone delivery providers Wing and Zipline, Walmart’s drones promise swift deliveries within half an hour for households within the specified delivery zones. Both Wing and Zipline have received approval from the Federal Aviation Administration (FAA) to operate drones without a dedicated observer constantly monitoring them, enabling Walmart to expand its reach.

Walmart has been actively collaborating with these drone delivery providers to enhance its services. Zipline has been working with Walmart since 2021 to deliver items in Pea Ridge, Arkansas, while Wing partnered with the retailer to launch services at two locations in the Dallas-Fort Worth area last August, reaching 60,000 homes.

With nearly 4,700 Walmart stores located within 10 miles of 90% of the U.S. population, the company believes it is uniquely positioned to scale its drone delivery service effectively.

While Walmart is making strides in the drone delivery space, its main competitor, Amazon, has been rapidly expanding its own drone program. Amazon’s Prime Air drone deliveries are now available in three U.S. cities, with plans to extend the service to customers in Italy and the U.K. later this year. The e-commerce giant has even introduced drone deliveries for its Amazon Pharmacy arm, successfully delivering medication to customers in College Station, Texas, since October 2023.

As both retail giants continue to invest in drone technology, it remains to be seen how this technological race will reshape the future of the delivery industry. Walmart’s latest expansion in North Texas is just one example of the ongoing competition to provide faster and more efficient delivery services to consumers.