Warehouse Robotics Firms Push Automation as Amazon Competition Heats Up
Warehouse robotics companies like Berkshire Grey and Locus Robotics secure major funding and explore public offerings to help retailers compete with Amazon's massive automation footprint.
Berkshire Grey plans to go public through a SPAC by the second quarter, riding a wave of strong investor interest and a recent $263 million funding round. The company builds full-scale warehouse automation systems from the ground up to help retailers stay competitive. This push comes as retailers look for any advantage against Amazon, which currently operates around 200,000 robots in its global fulfillment centers.
Locus Robotics takes a different approach by offering a plug-and-play solution that requires less upfront investment and avoids lengthy warehouse shutdowns. The company just closes a $150 million Series E round to expand its robot-as-a-service (RaaS) model. This rental approach lowers the barrier to entry for businesses with seasonal needs or contract-based work.
Despite different strategies, both companies highlight a massive opportunity in the warehouse automation space. Industry experts estimate that current warehouse automation sits at only around 5%, leaving vast room for growth. As robotics firms continue to raise money and introduce flexible pricing models, more retailers gain the tools needed to compete in an increasingly automated supply chain.