
What happened
Walmart and Symbotic expanded their commercial agreement to bring more automation to 25 US regional distribution centers, with an initial commitment of approximately $6 billion in spend over several years.
Why it matters
The expanded agreement supports the continued growth of Walmart's supply chain capabilities globally, helping deliver greater value for customers in markets around the world.
WHO IT HITSThe deal affects Walmart's supply chain operations teams and Symbotic's deployment staff, as both companies work to bring additional automation capabilities to regional distribution centers.
Summaries like this, every morning.
The expanded agreement builds on a partnership that began with a single product over a decade ago, according to Rick Cohen, chairman and CEO of Symbotic. Symbotic now offers a full end-to-end solution to help power Walmart's growth across its supply chain for years to come.
Symbotic's integrated solution includes a BreakPack each-picking solution and the SymMicro micro-fulfillment solution for e-commerce, all underpinned by its proprietary software that harnesses AI to orchestrate and optimize the movement of millions of cases every day. Through the expanded work, Walmart plans to bring additional automation capabilities to its regional distribution center network, supporting e-commerce upstream inventory management, increasing storage capacity and improving how products move through the supply chain.
Walmart's investments in the physical and digital supply chain are aimed at serving customers however they choose to shop, whether in stores, at the curbside or at home, according to Rob Montgomery, executive vice president for Walmart US supply chain operations. The expanded agreement is expected to help improve service, grow capacity, simplify work for associates and lower costs, per Montgomery.
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