Otto Group invests in AI-powered robotics

Posted on Tuesday 16 May 2023

The leading European eComm firm has signed a strategic partnership with robotics picking specialist Covariant and will begin by deploying more than a hundred robots.

THE AI-powered robots will be used to automate a wide range of manual fulfilment activities that require hand-eye coordination and object manipulation.

The Otto Group will deploy Covariant robots to increase operational efficiency, build resilience against labour market challenges, and improve the overall quality of work within its fulfilment centres. The investment is expected to create new work profiles and attractive jobs while enhancing overall facility performance and ensuring more reliable delivery times, especially during periods of high or fluctuating demand.

Otto Group’s Kay Schiebur explains: “Logistics faces the challenge of being as cost-efficient as possible. The use of a generalist AI allows us to rethink processes that were not possible before and provides an answer to the massive shortage of workers. In times when handling is often outsourced to cheaper locations, we are especially happy to continue to be close to our customers and strengthen the European, and especially German business location. The use of AI will be a key success factor in logistics in the future.”

Covariant delivers a wide portfolio of robotic picking, placing, and sorting solutions. The solutions are powered by the Covariant Brain, a universal AI platform.

Covariant chief executive officer Peter Chen, adds: “This is a huge step forward for the automation of Europe’s ecommerce market as it represents one of the largest investments in a foundation model for robotics to date.”

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