Magna and Cartken to Collaborate on Autonomous Delivery Robots

Rhea-AI Summary

Magna and Cartken have announced a partnership to manufacture autonomous delivery robots, starting with production at a Magna facility in Michigan. The initial focus is on the Model C, with plans for additional models and applications in the future. Production capacity will increase in the coming months, with thousands of robots expected to be built. This collaboration aligns with Magna's strategy to explore new mobility opportunities, offering sustainable and cost-effective delivery solutions.

Positive

• Partnership with Cartken positions Magna in the growing autonomous delivery market.
• Initial production of Cartken's Model C begins at Magna's Michigan facility.
• Plans for additional autonomous delivery models expand future growth potential.

Negative

• None.

• Magna to scale Cartken’s autonomous delivery robots
• Production at a Magna facility in Michigan
• Additional models and different use-applications expected off same platform

AURORA, Ontario and OAKLAND, Calif., Sept. 07, 2022 (GLOBE NEWSWIRE) -- Global mobility technology company, Magna, and San Francisco-based autonomous robotics company, Cartken, announced today an agreement for Magna to manufacture Cartken’s autonomous delivery robot fleet to meet growing demand for last mile delivery.

Manufacturing of Cartken’s Model C has begun in a Magna facility in Michigan. Production capacity is expected to ramp up over the next few months and as the collaboration expands the two companies plan to include additional autonomous delivery models based on the same platform for different use-applications and robot-as-a-service business models. Based on Cartken’s forecast, thousands of autonomous delivery robots are expected to be produced during the term of the agreement.

"We seek strategic partners that can accelerate the trajectory of Cartken's growth. This partnership is a significant step toward scaling our business and getting more Model C's into the world,” said Christian Bersch, Co-founder and CEO of Cartken. “We’re honored that Magna, as a global leader with deep systems knowledge and manufacturing excellence, recognized the potential of our robots and the quality of our technology. We're inspired by Magna’s push into new spaces and are excited to move forward together in our effort to scale distribution."

“We continue to identify opportunities in the new mobility ecosystem where we use our capabilities to unlock new growth areas and new business models. This collaboration with Cartken is great example of that approach,” said Matteo Del Sorbo, Executive Vice President, Magna International and Global Lead for Magna New Mobility. “Our ability to design, engineer and manufacture complete vehicles makes Magna an ideal partner for companies looking to solve last mile delivery challenges with sustainable, autonomous and cost-effective solutions.”

Cartken's fully autonomous delivery robots can operate outdoors and indoors, and are equipped with a remote monitoring and teleoperation system that allows for instantaneous human override if necessary, helping to ensure service levels are high. The Cartken autonomous delivery robots are fitted with multiple cameras and respond to situations in real-time using a combination of machine learning and simultaneous localization and mapping (SLAM)-based navigation algorithms. Currently, Cartken's autonomous delivery robot fleet is in commercial operation and has been deployed for various autonomous delivery use cases in malls, hotels, universities, retail, back-of-house, and warehouses around the globe. 

TAGS
Delivery Bot, Last Mile Robot, Autonomous Delivery, Autonomous Robot

INVESTOR CONTACT
Louis Tonelli, Vice-President, Investor Relations
louis.tonelli@magna.com, 905-726-7035

MEDIA CONTACTS
Tracy Fuerst, Vice President, Corporate Communications & PR
tracy.fuerst@magna.com, 248-761-7004

Teal Minisofer, PR Representative for Cartken
teal@zerotrillion.com, +31-06-163-82-684

ABOUT CARTKEN
Cartken makes communities more connected by bridging the distance between customers and the local businesses they love. Our autonomous robot platform is designed to transport goods over short distances in malls, business parks and local neighborhoods. We use advanced autonomous technology, making our robots the safest and most reliable in the market today. Cartken's team of engineers and operators combine deep expertise in self-driving cars, AI-powered robotics and delivery operations.

ABOUT MAGNA
Magna is more than one of the world’s largest suppliers in the automotive space. We are a mobility technology company with a global, entrepreneurial-minded team of 161,000 employees and an organizational structure designed to innovate like a startup. With 65+ years of expertise, and a systems approach to design, engineering and manufacturing that touches nearly every aspect of the vehicle, we are positioned to support advancing mobility in a transforming industry. Our global network includes 341 manufacturing operations and 89 product development, engineering and sales centres spanning 28 countries.

For further information about Magna [(NYSE:MGA; TSX:MG)], please visit www.magna.com or follow us on Twitter @MagnaInt.

THIS RELEASE MAY CONTAIN STATEMENTS WHICH CONSTITUTE “FORWARD-LOOKING STATEMENTS” UNDER APPLICABLE SECURITIES LEGISLATION AND ARE SUBJECT TO, AND EXPRESSLY QUALIFIED BY, THE CAUTIONARY DISCLAIMERS THAT ARE SET OUT IN MAGNA’S REGULATORY FILINGS. PLEASE REFER TO MAGNA’S MOST CURRENT MANAGEMENT’S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS AND FINANCIAL POSITION, ANNUAL INFORMATION FORM AND ANNUAL REPORT ON FORM 40-F, AS REPLACED OR UPDATED BY ANY OF MAGNA’S SUBSEQUENT REGULATORY FILINGS, WHICH SET OUT THE CAUTIONARY DISCLAIMERS, INCLUDING THE RISK FACTORS THAT COULD CAUSE ACTUAL EVENTS TO DIFFER MATERIALLY FROM THOSE INDICATED BY SUCH FORWARD-LOOKING STATEMENTS. THESE DOCUMENTS ARE AVAILABLE FOR REVIEW ON MAGNA’S WEBSITE AT WWW.MAGNA.COM.

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/b9b8ac55-9318-4814-a9f0-4f04361b4cee

FAQ

What is the partnership between Magna and Cartken about?

Magna is set to manufacture Cartken's autonomous delivery robots, beginning with the Model C at its Michigan facility.

What are the expected production volumes for the autonomous delivery robots?

Thousands of autonomous delivery robots are expected to be produced during the term of the agreement between Magna and Cartken.

How does the partnership benefit Magna (NYSE:MGA)?

The partnership allows Magna to enter the growing autonomous delivery market and diversify its business model.

When did Magna announce its collaboration with Cartken?

Magna announced its partnership with Cartken on September 7, 2022.