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Amazon Resumes Drone Deliveries in Texas and Arizona Following FAA Software Approval

Amazon Resumes Drone Deliveries in Texas and Arizona Following FAA Software Approval

Yahoo01-04-2025

Amazon (AMZN, Financials) resumed its Prime Air drone delivery service in College Station, Texas, and Tolleson, Arizona, after receiving approval from the Federal Aviation Administration for a critical software update, CNBC reported.
Warning! GuruFocus has detected 2 Warning Sign with AMZN.
Following problems with the drones' altitude sensors, which the firm ascribed to dust in Arizona's atmosphere interfering with them, the service has been discontinued since January. Though the service was stopped as a precaution, Amazon said no safety events took place during operations.The firm said the Federal Aviation Administration approved and tested the software fix, hence allowing flights to resume at both sites. Prime Air has shown what Amazon called tremendous consumer demand since it started running.A recent Arizona delivery of the sleep medication ZzzQuil took 31 minutes and 30 seconds to complete. Amazon kept the distance of delivery a secret.Amazon also unveiled the MK30, a new drone type the firm said was meant to fly in light rain and produce less noise. The model's introduction comes after local objections in College Station, which led to plans to move the drone center away from residential areas later this year.Amazon still lags behind rivals like Alphabet's (GOOGL, Financials) Wing and Walmart's (WMT, Financials) partner Zipline in drone delivery execution despite the relaunch.A software problem caused two MK30 drones to crash in December. A mid-air collision was caused by a failed propeller simulation in September; a February test near Pendleton, Oregon, caused drone damage. Amazon said these events were unrelated to the software-related halt earlier in the year.The company said it is aiming to deliver 500 million packages annually via drone by 2030. Amazon characterized the crashes as part of the extreme testing process used to develop its systems.
This article first appeared on GuruFocus.

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