UPS is considering a transformative technological leap: the integration of humanoid robots. The logistics powerhouse is currently in discussions with Figure AI, a Microsoft-backed robotics startup, to incorporate these innovative robots into its operations, according to sources close to the situation.
This initiative represents a significant advancement in UPS’s automation approach, transitioning from traditional robotic arms to advanced, agile AI-driven systems.
“We routinely investigate and implement a variety of technologies, including robotics,” UPS stated in a press release, though it did not mention Figure specifically.
Current Developments
Figure’s humanoid robot, which gained attention in a viral video from February, was captured sorting packages beside a conveyor belt, showcasing its capabilities for actual warehouse operations. Standing at 5 feet 6 inches, it is designed for environments meant for human interaction.
Our first customer use case took 12 months, our second customer use case took just 30 days
Helix learned high-rate logistics with a single neural network
On Sunday, we successfully validated this on-site at the customer pic.twitter.com/ev5OeSEhly
— Figure (@Figure_robot) February 26, 2025
While the specific details of UPS’s potential deployment are not publicly known, the ongoing discussions indicate increasing progress.
UPS has been increasing its technology investments, with an annual expenditure of approximately $1 billion on automation and AI aimed at reducing costs and enhancing efficiency.
Recent Initiatives Include:
- The AI-powered ORION routing system, which saves 10 million miles annually
- EDGE and Network Planning Tools that save hundreds of millions
- Collaborations with Dexterity Inc. focusing on “human-like” robotic arms
Motivation Behind the Move
UPS and the broader logistics sector are facing persistent labor shortages, with approximately 76% of logistics companies reporting staffing deficiencies. Humanoid robots present a scalable solution, able to perform tasks with a level of finesse that conventional systems cannot achieve.
Future Outlook
Experts predict that humanoid robots could become commonplace in logistics within the next 5 to 10 years. UPS’s proactive approach may provide it with a competitive advantage, especially as Figure looks to raise $1.5 billion at a valuation of $39.5 billion.
Should UPS fully embrace humanoid robots, it has the potential to transform warehouse operations and establish a new standard for the future of global logistics.
