Uber Partners with Zipline for Drone Deliveries Aiming for One Million Daily by 2029

Uber has joined forces with drone delivery company Zipline with an ambitious goal to conduct one million deliveries a day using Zipline’s drones by the end of 2029. The companies announced on Monday that Zipline drones will initiate their first deliveries on the Uber Eats platform by year’s end, starting in regions where Zipline already operates, with plans to extend services into numerous U.S. cities.

While the precise investment amount has not been disclosed, Uber’s strategy includes collaborating with various drone delivery partners to bolster its Uber Eats division. This move mirrors Uber’s earlier efforts in the autonomous vehicle sector, where the company has sought to integrate multiple players onto its platform.

Despite divesting from several of its own autonomous vehicle-related initiatives, including the aerial ride-sharing service Uber Elevate, the ride-hailing giant continues to invest heavily in the sector, dedicating over $10 billion to a range of autonomous vehicle providers. However, Uber’s strategy has faced challenges, such as a recent conflict with its partner Waymo, which is expected to culminate in a split when their contracts expire in 2028.

Uber has previously explored drone delivery concepts during its tenure with the Elevate division and resumed discussions on the topic last year through a minor investment in Israeli startup Flytrex. The company anticipates that Zipline’s drones could fulfill Uber Eats orders within a swift five to ten minutes. CEO Dara Khosrowshahi remarked, “Truly quick commerce is proving to be an even bigger market than the original food market was. We think this can be an enormous tailwind for the next leg of growth for Eats.”

Zipline, headquartered in San Francisco, recently secured an extended Series H funding round of $800 million, raising its valuation to $7.6 billion. Co-founder Keller Cliffton emphasized the significance of this partnership, stating, “Every great transportation revolution has changed where people live, how businesses operate, and how economies grow. Together with Uber, we’re taking the next step toward building a world where getting what you need is as fast and effortless as sending a text, no matter where you are.”