US autonomous drone delivery and logistics startup Zipline announced Wednesday that it will set up operations in Houston and Phoenix early this year as part of an expansion fueled by $600 million in new investment.
The round, which values the company at $7.6 billion, will be used to expand into at least four US states in 2026, the company said. The funding round was led by a number of existing and new investors, including Fidelity Management & Research Company, Baillie Gifford, Valor Equity Partners and Tiger Global.
Founded in 2014, Zipline has developed its own drone delivery ecosystem, including logistics software, launch and landing systems, and aircraft. The company made its commercial debut in 2016 using its autonomous drones to deliver blood in Rwanda. Today, Zipline’s drones deliver food, retail, agriculture, and health products to five African countries, several cities in the United States, and Japan.
Last year, Zipline launched a home delivery service in the US that allows customers to order food and retail products through an app. The home delivery service uses Zipline’s Platform 2 drones, which are designed to carry up to eight pounds and travel to customers within a 10-mile radius. Platform 1’s larger drones are used for long-range deliveries for businesses, enterprises and governments that can cover 120 miles round trip. The P2 platform launched in Pea Ridge, Arkansas and the Dallas-Fort Worth Metroplex with Walmart and more than a dozen restaurant brands, according to Zipline.
It has also announced plans to launch in Seattle. Other commercial partners include Panera, Chipotle, Crumbl, Blaze Pizza, Wendy’s and Little Caesars.
This geographic expansion into the United States fueled Zipline’s delivery numbers. In 2024, the company completed 1 million drone deliveries to customers. This week, Zipline said it had surpassed 2 million deliveries. The company also said its US deliveries are up about 15% week over week for the past seven months.
Co-founder and CEO Keller Cliffton sees 2026 as the company’s breakout year.
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“Autonomous logistics has been maturing for more than a decade, and the last year has made it unequivocally clear that when deliveries are faster, cleaner, safer and cheaper, demand is not just high, but growing exponentially,” said Cliffton. “In 2026, autonomous logistics will become a daily basis for people in many US states. The transformation starts with Houston and my hometown of Phoenix, which we will begin serving early this year, and then expand to even more places across the country throughout the year.”
Zipline isn’t alone in the budding drone delivery industry. Other competitors include Flytrex, DroneUp, Amazon Prime Air and Wing, the Alphabet-owned subsidiary that has also partnered with Walmart. Wing announced plans to expand to another 150 Walmart stores by 2027.
