Media reports Amazon employing 1,000 Indian employees to back flagging AI push
(MENAFN) United States retail giant Amazon is adjusting its approach to checkout technology, as it reportedly faces challenges with its Just Walk Out self-checkout systems. According to a report by news outlet Engadget on Monday, Amazon has hired over 1,000 human workers in India to support its grab-and-go checkout systems and is considering discontinuing the unprofitable technology.
The Just Walk Out self-checkout technology, which relies on a combination of cameras, sensors, and human input to track purchases and charge customers accordingly, has encountered difficulties in maintaining accuracy and profitability. Despite its initial rollout in 27 of Amazon's 40 Fresh stores across the United States, the technology has faced criticism and technical issues.
One of the main challenges cited is the need for human workers in India to monitor camera feeds and ensure accurate checkout tallies. Additionally, the installation and maintenance costs associated with the required equipment have reportedly made the use of Just Walk Out systems financially unsustainable for Amazon.
Moreover, customers have experienced various frustrations with the technology, including delayed receipts and mismanaged orders. Concerns over privacy and confidentiality have also emerged, as the systems collect biometric information on shoppers, leading to legal challenges such as a class-action lawsuit filed against Amazon in New York.
In response to these challenges, Amazon is said to be shifting its focus to Dash Carts, which allow customers to scan items while shopping. The company has tested these carts in select Whole Foods and Fresh outlets and plans to expand their use in grocery stores as an alternative to the Just Walk Out system.
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