FedEx is preparing to scale its e-commerce fulfillment offering through a strategic alliance and investment in Nimble, an artificial intelligence robotics and autonomous technology company, according to an announcement Thursday. The investment amount was not disclosed.
Through the alliance, FedEx can use Nimble’s fulfillment centers, Nimble founder and CEO Simon Kalouche said in a news release. This will enable expansion for FedEx Fulfillment, which is geared toward order fulfillment and inventory management for small- and medium-sized businesses.
Nimble has six fulfillment centers already open or planning to launch by next year in the U.S. and Mexico, according to its website. These facilities feature the company’s robotic systems that autonomously pick, pack and handle products for brands selling apparel, footwear, electronics and other products.
“Nimble’s cutting-edge AI robotics and autonomous fulfillment systems will help FedEx streamline operations and unlock new opportunities for our customers,” FedEx Supply Chain President Scott Temple, which FedEx Fulfillment is part of, said in the release.
FedEx Supply Chain currently has more than 130 warehouse and fulfillment operations in North America and processes 475 million returns annually.
The team up with Nimble fits with FedEx’s strategy to strengthen its capabilities that will draw in more e-commerce and SMB customers. The delivery giant announced a new digital platform earlier this year offering end-to-end solutions for online merchants, and it has touted the benefits of its Ground-Express network merger for smaller shippers.