Artificial Intelligence-Enabled Last Mile Delivery Market Outlook 2025-2034: Market Share, and Growth Analysis By Type (Hardware, Software, Services, Predictive Analysis, Other Types), By Business Model (On-Demand Delivery, Other Business Models), By End-

The Artificial Intelligence-Enabled Last Mile Delivery Market is valued at USD 1.9 billion in 2025 and is projected to grow at a CAGR of 15.5% to reach USD 7 billion by 2034.The Artificial Intelligence-Enabled Last Mile Delivery Market focuses on using AI to optimize and automate the final stage of delivery, from the distribution center to the customer's doorstep. AI algorithms are used to plan routes, manage inventory, and provide real-time tracking. This market is driven by the increasing demand for faster, more efficient, and cost-effective delivery solutions.

AI-enabled last mile delivery solutions use machine learning to analyze data related to traffic patterns, delivery schedules, and customer preferences. This data is used to optimize delivery routes, predict potential delays, and provide accurate delivery estimates. AI also enables the use of autonomous delivery vehicles, drones, and robots. The market is witnessing the adoption of AI-powered logistics platforms that integrate with existing delivery systems.

The growth of the AI-enabled last mile delivery market is fueled by the rapid growth of e-commerce, the increasing demand for same-day delivery, and the need for cost reduction. Businesses are investing in AI to improve delivery efficiency, reduce operational costs, and enhance customer satisfaction. The market is expected to expand as AI technologies become more integrated into logistics and supply chain management.

Key Insights_ Artificial Intelligence-Enabled Last Mile Delivery Market

Use of autonomous delivery vehicles and drones.

AI-powered route optimization and real-time tracking.

Integration of AI with logistics platforms and delivery systems.

Predictive analytics for demand forecasting and inventory management.

Development of AI-driven delivery hubs and micro-fulfillment centers.

Rapid growth of e-commerce and online retail.

Increasing demand for same-day and on-demand delivery.

Need for cost reduction and operational efficiency.

Advancements in AI and robotics technologies.

Consumer expectations for faster and more reliable delivery.

Regulatory hurdles for autonomous delivery vehicles and drones.

Infrastructure limitations and urban congestion.

Ensuring security and reliability of AI-powered delivery systems.

Data privacy and security concerns.

Integration of AI with existing logistics and delivery systems.

Artificial Intelligence-Enabled Last Mile Delivery Market Segmentation

By Type

Hardware

Software

Services

Predictive Analysis

Other Types

By Business Model

On-Demand Delivery

Other Business Models

By End-User Industry

E-Commerce

Logistics

Healthcare

Travel And Tourism

Food And Beverage

Other End-User Industries

Key Companies Analysed

NVIDIA CorporationDoorDash Inc.WorkWave LLCLocus Robotics CorporationFarEye Technologies Inc.Bringg Delivery Technologies Ltd.Magaya CorporationCircuit Logistics Inc.Shipwell Inc.LogiNext Solutions Private LimitedFreightos LimitedWise Systems Inc.Route4Me Inc.GetSwift LimitedOnfleet Inc.Transmetrics ADClearMetal Inc.Boxbot Inc.Refraction AI Inc.Robby Technologies Inc.Rapidus Inc.OptimoRoute Inc.Routific Inc.Detrack Systems Pte. Ltd.PickPack LLC

Artificial Intelligence-Enabled Last Mile Delivery Market Analytics

The report employs rigorous tools, including Porter’s Five Forces, value chain mapping, and scenario-based modeling, to assess supply–demand dynamics. Cross-sector influences from parent, derived, and substitute markets are evaluated to identify risks and opportunities. Trade and pricing analytics provide an up-to-date view of international flows, including leading exporters, importers, and regional price trends.

Macroeconomic indicators, policy frameworks such as carbon pricing and energy security strategies, and evolving consumer behavior are considered in forecasting scenarios. Recent deal flows, partnerships, and technology innovations are incorporated to assess their impact on future market performance.

Artificial Intelligence-Enabled Last Mile Delivery Market Competitive Intelligence

The competitive landscape is mapped through OG Analysis’ proprietary frameworks, profiling leading companies with details on business models, product portfolios, financial performance, and strategic initiatives. Key developments such as mergers & acquisitions, technology collaborations, investment inflows, and regional expansions are analyzed for their competitive impact. The report also identifies emerging players and innovative startups contributing to market disruption.

Regional insights highlight the most promising investment destinations, regulatory landscapes, and evolving partnerships across energy and industrial corridors.

Countries Covered

North America — Artificial Intelligence-Enabled Last Mile Delivery market data and outlook to 2034

United States

Canada

Mexico

Europe — Artificial Intelligence-Enabled Last Mile Delivery market data and outlook to 2034

Germany

United Kingdom

France

Italy

Spain

BeNeLux

Russia

Sweden

Asia-Pacific — Artificial Intelligence-Enabled Last Mile Delivery market data and outlook to 2034

China

Japan

India

South Korea

Australia

Indonesia

Malaysia

Vietnam

Middle East and Africa — Artificial Intelligence-Enabled Last Mile Delivery market data and outlook to 2034

Saudi Arabia

South Africa

Iran

UAE

Egypt

South and Central America — Artificial Intelligence-Enabled Last Mile Delivery market data and outlook to 2034

Brazil

Argentina

Chile

Peru

Research Methodology

This study combines primary inputs from industry experts across the Artificial Intelligence-Enabled Last Mile Delivery value chain with secondary data from associations, government publications, trade databases, and company disclosures. Proprietary modeling techniques, including data triangulation, statistical correlation, and scenario planning, are applied to deliver reliable market sizing and forecasting.

Key Questions Addressed

What is the current and forecast market size of the Artificial Intelligence-Enabled Last Mile Delivery industry at global, regional, and country levels?

Which types, applications, and technologies present the highest growth potential?

How are supply chains adapting to geopolitical and economic shocks?

What role do policy frameworks, trade flows, and sustainability targets play in shaping demand?

Who are the leading players, and how are their strategies evolving in the face of global uncertainty?

Which regional “hotspots” and customer segments will outpace the market, and what go-to-market and partnership models best support entry and expansion?

Where are the most investable opportunities—across technology roadmaps, sustainability-linked innovation, and M&A—and what is the best segment to invest over the next 3–5 years?

Your Key Takeaways from the Artificial Intelligence-Enabled Last Mile Delivery Market Report

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