DeeperML

Symbotic, a robotics firm, has announced it is acquiring Walmart’s automation division for an initial payment of $200 million, with the potential for an additional $350 million based on the deal's performance. This acquisition solidifies Symbotic's role as a key technology supplier to Walmart and significantly expands its presence in the automation market. The agreement sees Walmart purchasing automation systems from Symbotic, which avoids the prospect of Walmart developing rival automation solutions in-house. The partnership is not just an aquisition, it is expected to provide Symbotic with immediate revenue and strengthens an already established relationship with the retail giant.

The deal will see Symbotic take control of automating Walmart’s pickup and delivery centers, with Walmart funding a development program worth $520 million to support the technology. This includes the initial $200m, with the remainder in future payments. Walmart aims to improve customer experience through quicker, more efficient service with the implementation of Symbotic's automated systems. This strategic move builds on a relationship that began in 2017 and positions Symbotic to enhance Walmart's in-store Accelerated Pickup and Delivery capabilities. The transaction is projected to close in the second quarter of 2025.


References :

• OODAloop: Walmart Sells Robotics Business to Symbotic in Play to Further Automate Systems
• TechCrunch: Symbotic set to take over Walmart’s robotics business
• Quartz: Symbotic, a robotics company, has acquired Walmart's automation division, signaling a significant investment in automation by Walmart and a major win for Symbotic.

Classification:

• HashTags: #Robotics #Automation #SymboticWalmart
• Company: Symbotic
• Target: Walmart
• Product: Robotics
• Feature: Robotics Acquisition
• Type: ProductUpdate
• Severity: Major