US autonomous drone delivery and logistics startup Zipline said on Wednesday it would set up operations in Houston and Phoenix early this year, as part of an expansion that will be fueled by a new $600 million investment.
The round, which values the company at $7.6 billion, will be used to expand to at least four US states by 2026, the company said. Several existing and new investors, including Fidelity Management & Research Company, Baillie Gifford, Valor Equity Partners and Tiger Global participated in the funding round.
Founded in 2014, Zipline is developing its own drone delivery ecosystem, including logistics software, launch and landing systems, and aircraft. The company got its commercial start in 2016 using autonomous drones for send blood in Rwanda. Currently, Zipline drones deliver food, retail, agricultural, and healthcare products in five African countries, several cities in the United States, and Japan.
Last year, Zipline launched a home delivery service in the US that allows customers to order food and retail via an app. The home delivery service uses Zipline’s Platform 2 drone, which is designed to carry up to eight pounds and travel to customers within a 10-mile radius. The larger Platform 1 drones are used for long-distance deliveries for companies, businesses and governments that can cover 120 miles roundtrip. The P2 platform started in Pea Ridge, Arkansas and the Dallas-Fort Worth Metroplex with Walmart, and more than a dozen restaurant brands, according to Zipline.
It has also announced plans to launch in Seattle. Other commercial partners include Panera, Chipotle, Crumbl, Blaze Pizza, Wendy’s, and Little Caesars.
That geographic expansion in the United States has led to Zipline’s delivery numbers. By 2024, the company completes one million drone deliveries to customers; this week, said Zipline has exceeded 2 million deliveries. The company also said that US deliveries have increased by about 15% weekly over the past seven months.
Co-founder and CEO Keller Cliffton sees 2026 as the company’s breakout year.
Techcrunch event
San Francisco
|
13-15 October 2026
“Autonomous logistics has matured for more than a decade, and the past year has made it clear that while delivery is faster, cleaner, safer, and cheaper, demand is not only high, but growing,” Cliffton said in a statement. “By 2026 autonomous logistics will be a daily staple for people in several states in the US.
Zipline is not alone in the drone delivery industry. Competitors include Flytrex, DroneUp, Amazon Prime Air and Wing, a subsidiary of Alphabet, which has also partnered with Walmart. The company announced plans to expand to another 150 Walmart stores through 2027.