Self-Driving Startup Gatik Sees Spikes In Orders

Three weeks ago, I wrote that autonomous vehicles could assist with long-haul freight routes and last-mile deliveries to consumers. One startup thinks its AVs can fill the missing sweet spot on that logistics spectrum.

Whomst? Gatik says it serves an expensive, challenging part of retailers' supply chains: the "middle mile"—fixed, repeatable routes between distribution centers, warehouses, and stores. By catering to this AV-starved segment, Gatik has found business opportunities that have eluded competitors.

The startup has completed 15,000 revenue-generating trips in North America for customers like Walmart. Since these trips qualify as "essential business," Gatik's AV fleet is still burning rubber during the pandemic. "We're seeing a spike in orders" driven by surging e-commerce, Gatik policy/communications lead Rich Steiner told me.

• From a technical POV, repeatable journeys minimize the likelihood of "edge cases," such as streaking jaywalkers, that flummox self-driving software.

My takeaway: Gatik's operations aren't scalable enough to make a dent in humans' monopoly on driving, but they're a proof of concept for contactless, automated logistics.