UPS is stepping up its use of robots as part of a push to cut costs and speed up package handling, marking one of the logistics industry’s biggest bets on warehouse automation.
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The shipping giant plans to spend about $120 million to buy roughly 400 robots capable of unloading delivery trucks and shipping containers, according to people familiar with the plan. This deal shines a light on UPS’s larger $9 billion plan to add more automation across its network as the company targets $3 billion in cost savings by 2028.
The robots come from a Boston-area startup called Pickle Robot Co., which has been working with UPS for a couple of years. The machines use a mobile base and a robotic arm that can pick up boxes weighing up to about 50 pounds and place them on conveyor belts. One robot can unload a typical truck in about two hours.
Behind the scenes, the robots use AI, sensors, and cameras to spot boxes of different shapes and sizes and grab them safely.
UPS plans to start deploying the robots across multiple facilities in the second half of 2026 and into 2027, following years of testing to determine whether they really lower labor costs and improve productivity. The robots are designed to fit into existing warehouse setups without major changes.
Unloading trucks is one of the hardest and most repetitive jobs in logistics. It’s still mostly done by hand at most warehouses, and it’s a common bottleneck in package flows. UPS’s plan doesn’t mean people are leaving the business. The company has said automation is meant to help workers by taking over the most repetitive tasks, allowing employees to focus on other work.
The UPS move is part of a much bigger push toward robotics across logistics. Venture capital money flowing into robotics companies is expected to hit a new high in 2025, topping the $12.5 billion invested last year, as more companies look for ways to automate tough, hands-on work.
Across warehouses, automation is picking up speed as operators deal with labor shortages, safety concerns, and demand that can swing week to week. More companies are leaning into collaborative robots that work alongside people, taking on heavy, repetitive tasks rather than replacing workers outright.
