Amazon discontinues ‘just walk out’ technology at its US retail locations

The Challenges of Integrating Highly Novel Technology in Retail: A Gradual Approach May Be the Key to Success

One of the biggest challenges with implementing highly novel technology, like the “just walk out” system, is convincing people to integrate it into their daily lives. The upfront costs of such a system, including cameras, computing devices, and weighted shelving, can be significant for businesses with already thin profit margins like grocery stores. Even companies like Amazon with deep pockets may find it financially difficult to invest in this technology, especially as it continues to evolve and improve from an AI perspective.

Successful integration into daily life will require buy-in from government stakeholders at all levels. In addition to financial challenges, regulatory risks also need to be considered when adopting systems like “just walk out.” Issues surrounding tobacco and alcohol sales, as well as the perception of replacing human labor, can complicate the implementation process. However, a more gradual approach to automating retail locations may be a more effective way forward.

The existing ecosystem of automated checkouts and related technology has already made strides in the industry, offering a more economically feasible pathway. Over time, barriers to entry are likely to decrease as technology continues to advance. Arcaro suggests that taking a more measured approach may lead to greater success in implementing new technologies in retail locations.

Leave a Reply

Jindal-supported venture capital firm raises first fund to invest in Indian sports and gaming Previous post New Venture Capital Firm Set to Revolutionize Indian Sports Technology and Gaming Industry with $42 Million in Funding
At least nine dead, about 1,000 injured in the aftermath of Taiwan earthquake. Next post Strongest Taiwan Earthquake in 25 Years Causes Tragedy, Reminds Us of the Importance of Preparedness and Support for Local Businesses