Zipline will start delivering medical supplies in Japan next month

Zipline is gearing up to launch Japan’s first long-distance commercial drone deliveries.

It’s the SF-based startup’s first foray into Asia. As part of the program, which debuted yesterday but officially kicks off in May, flights will carry hundreds of medical supplies to hospitals and pharmacies in Japan’s Gotō Islands. The flights are powered by a partnership with Toyota Tsusho Corporation, the Toyota Group’s trading arm.

Major player

Since its 2014 founding, Zipline has been steadily expanding the autonomous drone delivery market, especially overseas—delivering blood in Rwanda and Covid-19 vaccines in Ghana. So far, it has made more than 280,000 deliveries worldwide.

• For comparison, Alphabet-owned Wing passed the 200k delivery milestone last month.

It’s also a poster child for vertical integration: manufacturing its own drones, and developing the end-to-end delivery process, including logistics software and takeoff-and-landing processes. As part of the partnership, Toyota Tsusho created a new subsidiary to manage the operations in Gotō including a warehouse and distribution center.

Zoom out: You could say Zipline had a very good 2021. Not only did the startup’s June funding round net $250 million at a $2.75 billion valuation, but it also inked autonomous delivery plans with Cote d’Ivoire, Kenya, and three states in Nigeria, according to the company. Zipline also formalized a small-scale partnership with a Walmart in Arkansas.