FedEx is working with Aurora (a leading developer of autonomous driving technology) and PACCAR (one of the world's largest manufacturers of medium and heavy vehicles) to test driverless technology. This also marks the first time FedEx has tried autonomous delivery services.
The first driverless delivery service is expected to begin next week, with the vehicles making round trips of 500 miles per week between Dallas and Houston.
Aurora, one of a number of startups trying to bring self-driving technology to commercial vehicles, agreed in July to go public with an acquisition company in a reverse merger that valued the combined entity at $13 billion.
FedEx has also been developing self-driving trucks. Self-driving trucks are very attractive to the express delivery industry. FedEx and UPS have been struggling with a severe driver shortage, which has pushed up wages and reduced profits. The emergence of self-driving services will undoubtedly solve this headache for the express delivery industry.
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