Food delivery robots carrying everything from pizza to hamburgers are trying their luck on city streets and college campuses. It’s not clear if it is the future or a hilarious misstep.
Visitors to Hollywood have probably seen them around, where they have been in operation since 2020, but there’s now an effort to spread usage to college towns.
The Wall Street Journal wrote about how the robots are getting flipped over, stuck in snow piles and some students have been found to sit on them, or trip over them, when drinking.
Companies like Coco Robotics, which makes food robots, noted they are a huge hit on social media, and kids find them cute. Tokyo also has seen a growth in food robots but, in general, has residents who are more respectful of the robots and it seems to be going a little better than U.S. college campuses.
Question: Will food delivery robots be a success in the U.S.?
Economists
Caroline Freund, UC San Diego School of Global Policy and Strategy
YES: If you build them, they will deliver. When Uber launched the first U.S. ride-hailing app in 2009, people asked who would get in the personal car of a stranger? Uber’s market cap is now nearly $200 billion. Americans love food delivery. Where labor is scarce, streets are easy to navigate, and people are hungry, robots will thrive. College campuses are great places to innovate, expand and refine service.
Kelly Cunningham, San Diego Institute for Economic Research
YES: Deliveries by robots certainly have potential to work well, particularly in congested urban areas having access provided by ADA compliant streets and buildings as well as ability to enter elevators. They clearly need some form of security as they inevitably will be misused, perhaps like Tesla cars having cameras to record vandalizing and to prevent misappropriating of their operations. Flying drones may avoid some problems navigating terrestrial obstacles and potentially be less intrusive and faster.
Alan Gin, University of San Diego
YES: There are some current problems, but the technology will undoubtedly get better in the future. Some Americans like the convenience of having their food delivered, and the food robots can do it at a lower cost than delivery services. Yes, college students may drink too much and try to abuse the robots, but that is likely to decrease as the novelty of the robots wears off and they become a more accepted part of life.
David Ely, San Diego State University
YES: College campuses, resorts and dense urban areas would seem to provide a suitable environment in which food delivery robots can be successful. There are many prospective customers in these markets who will appreciate the convenience and novelty of this innovation. Delivery via robot can be less expensive than alternatives that require a human. Experience will soon allow businesses to determine the distances, sidewalk conditions, regulatory constraints and weather conditions where robots can be successful.
Ray Major, economist
YES: But not in their current form, the current tech needs more time to mature. Think of this as a V1.0 of a generic personalized delivery service. As with many V1.0s, the concept is ahead of its time, and its implementation needs to be refined. Inventions like Apple’s Newton laid the foundation for iPhones. Segways failed, but in another form became e-bikes and set the stage for micro-mobility. Give it a few years and it might compete with Amazon.
James Hamilton, UC San Diego
YES: At least in some settings. In controlled environments like college campuses, hospitals and large corporate complexes delivery robots are already proving to be successful. The extent to which they can succeed in tougher urban environments is another question. They pose a new potential sidewalk hazard for the elderly and those of us with disabilities. And it’s yet another step leading people to greater social isolation with less interaction with real humans.
Norm Miller, University of San Diego
YES: Eventually these will be perfected and become part of normal operations, just as self-driving cars are inevitable. I’ve seen them used in Asian restaurants. I once had tenants that stole every campus machine not bolted down, and if these guys are not in jail, then the challenge for U.S. public delivery robots is that they are too easy to steal from, or abuse, and none, at present, have any defense mode like electric-shocks. Hmmm?
Executives
Chris Van Gorder, Scripps Health
YES: I don’t know if they will be successful in the general populations just like I’m not sure drones will be either, but in select communities like college campuses or major business campuses, they could be quite helpful and efficient. Scripps has been using food delivery robots or “TUGs” to deliver patient meals to different nursing units at Scripps La Jolla for years and it’s likely the use of these robots will be expanded in years to come.
Phil Blair, Manpower
YES: The U.S. will become early adopters of any technology that improves service and saves money.
Jamie Moraga, Franklin Revere
NO: Like the Bird and Lime e-scooters, these “cute” food delivery robots are likely to face significant challenges. While the intention is good and the concept promising, the reality is that these robots will be vandalized, damaged, robbed or intentionally destroyed. Additionally, they could pose liability issues and dangers to walkways and roadways, not to mention the threat of overregulation by local municipalities. The U.S. still has a way to go before food delivery robots can be successful.
Gary London, London Moeder Advisors
YES: I’ve seen them in Westwood (Los Angeles) and New York City. Early autos were probably targeted by horse and carriage people. Once the novelty wears off and delivery robots become ubiquitous, I’m sure they will just blend into the urban fabric. Change is hard, but the combination of densification in the cities, labor costs and technological advances makes them inevitable. We will eventually see a coupling of autonomous vehicles and robotics deliver to the suburbs, as well.
Bob Rauch, R.A. Rauch & Associates
YES: Food delivery robots are already gaining significant traction in the U.S., particularly in urban areas such as Los Angeles, San Jose and Dallas. Companies like Uber Eats and Serve Robotics have deployed over 2,000 delivery bots. Each of our hotels has a “service robot” for food, beverages and supplies, and customer satisfaction is high. Delivery speed and cost efficiency are improving, which is critical since uninformed politicians want to raise the minimum wage by 45%.
Austin Neudecker, Weave Growth
YES: Robot couriers may stumble today, but over a longer horizon, their spread feels inevitable. Early pilots will hit curbs, pranksters and regulatory roadblocks. Many will fail. Yet technology improves rapidly, labor continues to tighten, and consumers expect increased convenience. There will be a period of adaptation and acclimation for a diverse population, spanning early users to luddites. Ultimately, simple economics will prevail. Expect a messy adjustment marred by layoffs, zoning fights and skepticism.
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