Ocado acquires two robotics start-ups to enhance experience

 

With the growth in e-commerce, Ocado has decided that it must step things up. Indeed, customers are constantly looking for innovative technology that will help them complete daily tasks, such as buying groceries, easily.

To meet with their demands, the firm has announced that it has acquired two robotics companies in the US. These will work on technologies that will make their warehouse operations more efficient. One of them is Kindred Systems, which is headquartered in San Francisco and was bought for $262 million in cash, and the other is Haddington Dynamics, a Las Vegas company, acquired for $25 million in cash and shares. Both firms are going to develop systems that will make picking and packing of groceries easier. The online supermarket firm said that this was one of the biggest challenges in robotics.

The first start-up mentioned employs 90 people, 45 of which are engineers. It builds machines that are used to pick and pack orders. The other one designs robotics arms. Ocado’s Chief Executive Tim Steiner advanced that these acquisitions will allow it to “accelerate delivery, innovate more and grow faster”. Despite the fact that they will create an impact on the firm’s earnings, it is estimated that they will increase revenues in the next financial year by approximately £30 million.


Ocado is working on new technologies © Royalty-free image

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