Alphabet’s Wing to invest $125M in new delivery drone factory

Wing Aviation LLC today announced plans to spend $125 million on the construction of a new delivery drone factory. 

The initiative is part of a broader investment that also encompasses the Alphabet Inc. unit’s research and development teams in California. Additionally, Wing stated that it plans to invest in the communities where it operates. It currently offers deliveries in five U.S. cities and intends to bring its service to 14 more markets soon.

Wing is building its factory in Fort Worth, Texas. The 15,000-square-foot facility is expected to create up to 100 jobs. Wing says it will have capacity to make tens of thousands of delivery drones per year, which should significantly speed up its market expansion efforts.

The Alphabet unit’s drones reportedly have a wingspan of about 4.9 feet. They’re based on a frame made of styrofoam, a foam that mostly consists of trapped air, and carbon fibers. Styrofoam is lightweight and repels water, which comes handy when a drone is navigating challenging weather. The frame’s carbon fibers, in turn, boost its sturdiness.

The drone frame is equipped with 16 electric rotors that enable it to reach speeds of up to 60 miles per hour. Workers at stores that use Wing’s delivery service attach merchandise to its drones via a tether. After a drone takes off, it reels in the tether until the package comes into physical contact with its frame. When it reaches the customer’s house, the drone descends to an altitude of 20 feet and lowers the parcel.

Wing has built a software stack that automates much of the work involved in coordinating deliveries. It picks the most suitable drone for a given delivery run, plans its flight path and ensures that it won’t interfere with other drones. Human safety teams monitor for weather and air traffic changes that may make it necessary to adjust flight plans.

The unit plans to make its delivery service available to more than 40 million Americans by 2027. It’s pursuing the growth initiative in partnership with retailers such as Walmart Inc., which uses its drones to process e-commerce purchases. Last month, the latter company announced plans to make Wing deliveries available at more than 270 stores.

The Alphabet unit also intends to offer its service in Japan. Last month, it teamed up with Tokyo-based internet provider KDDI Corp. to make drone deliveries available to local consumers in 2027.

Although the drone delivery market is in an early stage, Wing already faces a significant amount of competition. In August, Amazon.com Inc. announced plans to make its Prime Air service available in nearly 500 U.S. markets by year’s end. More recently, drone delivery startup Zipline International Inc. raised $1.5 billion in funding at a $21.5 billion valuation.

Photo: Wing