According to FedEx (NYSE: FDX) CEO, Fred Smith, the company will be working hard toward the shift to autonomous vehicles this summer.
“You’ll see in late June an enormous effort towards autonomous trucks that move over the highway. Not in the city, where we think our drivers are better for the pickup and delivery of the long-distance vehicles,” Smith said in an interview on “Mad Money.”
“We are a long way down the road to doing that. But we’re not going to get rid of our drivers. They’ll do the pickup and delivery and the dredge if you will, and over time, I’m very confident autonomous trucks are on the way,” he added.
In 2021, the company revealed it was testing autonomous delivery trucks in China, in partnership with Neolix, a self-driving logistics start-up. FedEx has also made other autonomous vehicle pushes, working with companies such as Nuro, DEKA Development Research, Aurora, and Pacer.
Additionally, on Monday, the company stated that Smith will transition to executive chair, while Raj Subramaniam, the current COO, will succeed him.
FedEx shares rose 3.7% on Tuesday amid the news and have a current market cap of USD61.13 Billion.