How Amazon is harnessing 'physical AI' to streamline its global supply chain

Amazon is integrating advanced AI foundation models into its supply chain and robotics operations to enhance efficiency and customer convenience. By utilizing "Physical AI," the company optimizes product placement across its global network, ensuring items are stored closer to customers to reduce delivery times and costs. These technological advancements, including new agentic AI that enables natural language interaction with robots, have already yielded measurable results, such as a 30% improvement in employee safety and 25% faster processing speeds in new fulfillment centers. Rather than replacing the workforce, these innovations focus on augmenting human capabilities, automating repetitive tasks, and upskilling employees through significant investments. This strategic deployment of AI reflects a long-term commitment to operational excellence, allowing Amazon to remain adaptive in an increasingly complex global logistics landscape while maintaining its core promise of fast, reliable delivery.