Pitney to Use Gatik Trucks

Logistics company Pitney Bowes (NYSE:PBI) will begin testing automated short-haul delivery trucks from startup Gatik under a new pilot program at Dallas-area distribution centers, the companies announced Wednesday.

Pitney Bowes, which provides logistic services for retailers including eBay and American Eagle, will integrate Gatik’s self-driving box trucks starting in 2023. The trucks will supplement five existing routes in the Dallas-Fort Worth area and will run packages between distribution centers, so-called “middle-mile” delivery.

The partnership gives the global logistics company access to some of the first commercial autonomous delivery trucks on the market and adds to Gatik’s growing footprint in the U.S. short-haul delivery market.
Gatik, which was founded in Silicon Valley in 2017, aims to automate shorter, business-to-business hauls with fixed, repeatable routes. It launched a partnership with Walmart in 2021, becoming the first commercial delivery company to go completely driverless.

While some autonomous driving systems, such as Tesla’s, have faced heightened scrutiny, Gatik says it’s navigated the difficult environment by limiting its focus on middle-mile routes.

“By constraining the autonomy problem, we can get to the point where the driver comes out [of the safety driver role] faster than anyone else in the industry,” Gatik CEO Gautam Narang, told the media. “We chose the safest possible routes and the easiest possible routes.”

PBI shares were flat at $2.98.

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