UPDATED 22:13 EDT / MAY 13 2019

AI

Amazon’s new automated packing machines are much faster than humans

Amazon.com Inc. is embracing automation again, this time by rolling out packing machines for customer orders.

As first reported by Reuters today, the machines scan the items as they move along a conveyor belt and after this small inspection, a custom-made box will be wrapped around those items. Of course, this has always been a typical job for humans, so there has been some concern as to how many jobs might go.

According to people familiar with the project, Amazon is now considering adding two of these machines at dozens more warehouses. The upshot could be about 1,300 lost jobs.

It should be no surprise to anyone that Amazon has been trying to reduce labor costs by automating various processes. It’s said that the company should recover the cost of the $1 million per machine in about two years. The machines are apparently way faster than humans, able to pack 600 to 700 items an hour. That is four or five times faster than a human packer, although the machine does need some people to run it.

In April this year, Amazon acquired the Colorado-based robotics startup called Canvas Technology. This company builds self-driving vehicles but for industrial purposes. Some of those vehicles are carts that can move around warehouses. Amazon, however, only sees automation as creating newer jobs and taking some of the grind out of work.

“We are piloting this new technology with the goal of increasing safety, speeding up delivery times and adding efficiency across our network,” an Amazon spokeswoman said in a statement to Reuters. “We expect the efficiency savings will be re-invested in new services for customers, where new jobs will continue to be created.”

Others, such as Democrat presidential candidate Andrew Yang, don’t see it that way. He has been busy sending warnings that indeed the robots are coming and many jobs will be lost. The former Silicon Valley entrepreneur has said we cannot stop this technological revolution and a Universal Basic Income will need to be implemented.

The people speaking to Reuters might agree, stating that what Amazon ultimately wants are “lights out” warehouses. On the upside, Amazon has said it will offer $10,000 and three months’ gross salary to any existing warehouse employees who want to quit. That will go to employees creating their own delivery gig as part of the Delivery Service Partner program.

Photo: Tony Webster/Flickr

A message from John Furrier, co-founder of SiliconANGLE:

Support our open free content by sharing and engaging with our content and community.

Join theCUBE Alumni Trust Network

Where Technology Leaders Connect, Share Intelligence & Create Opportunities

11.4k+  
CUBE Alumni Network
C-level and Technical
Domain Experts
15M+ 
theCUBE
Viewers
Connect with 11,413+ industry leaders from our network of tech and business leaders forming a unique trusted network effect.

SiliconANGLE Media is a recognized leader in digital media innovation serving innovative audiences and brands, bringing together cutting-edge technology, influential content, strategic insights and real-time audience engagement. As the parent company of SiliconANGLE, theCUBE Network, theCUBE Research, CUBE365, theCUBE AI and theCUBE SuperStudios — such as those established in Silicon Valley and the New York Stock Exchange (NYSE) — SiliconANGLE Media operates at the intersection of media, technology, and AI. .

Founded by tech visionaries John Furrier and Dave Vellante, SiliconANGLE Media has built a powerful ecosystem of industry-leading digital media brands, with a reach of 15+ million elite tech professionals. The company’s new, proprietary theCUBE AI Video cloud is breaking ground in audience interaction, leveraging theCUBEai.com neural network to help technology companies make data-driven decisions and stay at the forefront of industry conversations.