Amazon buys Kiva Systems for $775 million in cash

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March 29, 2012NewsNo comments

Finally Amazon realized its better to own something good than continually rent it. That’s the case of Kiva Systems. Using the fleet of Kiva’s reliable smart robots and automation technology to make its fulfillment centers super efficient for years Amazon decided that it can not live without it.

The online shopping juggernaut announced that it’s buying Kiva Systems for $775 million in cash, a smart move that will definitely pay off.

Here’s how Kiva describes its tech: “Using hundreds of autonomous mobile robots and sophisticated control software, the Kiva Mobile-robotic Fulfillment System enables extremely fast cycle times with reduced labor requirements, from receiving to picking to shipping. The result is a building that is quick and low-cost to set up, inexpensive to operate and easy to change anywhere in the world.”

Keeping Kiva’s wonder technology for itself will definitely hurt the Amazon’s competitors and may be a strong argument towards relying on Amazon to keep their own warehouse operating smoothly.

About Kiva Systems
Kiva Systems, Inc. uses material handling technology and sophisticated control software to simplify operations, reduce costs and increase flexibility. Kiva solutions enable extremely fast cycle times, from receiving to order picking to shipping all in a single solution. The result is a building that is quick and low-cost to set up, inexpensive to operate, and easy to change. For more information about Kiva Systems and its solutions, please visit www.kivasystems.com