Logistics networks are increasingly looking toward unmanned aerial systems (UASs), or drones, to address inefficiencies in the movement of goods.
While much attention has been given to the potential of drones for last-mile deliveries from distribution hubs to consumers, their role in the first mile, i.e., moving goods from production sites, farms, or warehouses to distribution hubs, is also gaining traction. These developments are driven by the demand for faster delivery times, reduced costs, and lower environmental impact, particularly as urban congestion and sustainability concerns put pressure on traditional logistics models.
Several companies, ranging from large logistics providers to startups, are testing or actively deploying drone delivery solutions. However, the shift toward large-scale drone logistics is complex, with key developments occurring in AI-powered automation, regulatory adaptation, and infrastructure integration. While drones are unlikely to replace conventional delivery methods, they are being positioned as a complementary technology that could improve efficiency in certain use cases.
AI and Automation in Drone Logistics
For drones to function effectively in delivery operations, they require high levels of automation and intelligent navigation systems. Unlike traditional road transport, aerial deliveries need to account for weather conditions, restricted airspace, flight stability, and real-time traffic management. AI plays a central role in enabling route optimization, obstacle avoidance, and operational coordination, particularly in dense urban environments where drones must navigate around buildings, trees, and other aerial vehicles.
One key development is the integration of computer vision and sensor fusion to allow drones to adjust to changing environments in real-time. For example, drones operating in last-mile deliveries must be able to land accurately and detect safe drop-off zones, while first-mile delivery drones in industrial settings must coordinate with automated warehouses and robotic sorting systems.
Another important area is fleet management and predictive maintenance. Drones require regular monitoring to ensure battery life, mechanical performance, and software integrity remain optimal. Digital twin simulations—virtual replicas of drones and their operational environments—are increasingly being used to test routes, predict failures, and improve overall efficiency before real-world deployment.
These technological advancements indicate that drones are becoming more autonomous, but full-scale implementation still depends on external factors such as regulatory approval and infrastructure readiness.
First-Mile and Last-Mile Drone Deliveries
In first-mile logistics, drones are being tested in relatively controlled environments where they can transport raw materials, parts, or products between facilities without interference from urban air traffic. These applications are particularly relevant for industries that require time-sensitive deliveries, such as healthcare, manufacturing, and food supply chains.
For example, drone deliveries have been trialled in medical supply chains, moving blood samples, vaccines, and emergency medical supplies between hospitals and laboratories. The ability to bypass road congestion makes drones a potentially useful tool in reducing delays for critical shipments. Similarly, in agriculture, drones are being used to transport fresh produce from farms to processing centres to mitigate losses due to spoilage.
However, scaling first-mile drone operations comes with logistical constraints. Payload capacity remains limited compared to traditional ground transport, meaning that drones are mostly viable for high-value, low-weight goods rather than bulk shipments. Additionally, while automation is improving, loading and unloading operations still require integration with human workers or robotic systems, which adds another layer of complexity.
Last-mile drone deliveries—getting products directly to consumers—have been a major area of interest for companies like Amazon, Zipline, and Wing. Several pilot projects have been launched to test the feasibility of drone-based parcel delivery in suburban and rural areas. In low-density regions with limited road infrastructure, drones have proven to be a practical solution, particularly for deliveries of medical supplies and e-commerce packages.
Urban environments present a different set of challenges. Airspace management, regulatory restrictions, and infrastructure limitations make drone deliveries more difficult to integrate into existing logistics networks. Drone deployment in cities requires substantial regulatory coordination and public acceptance.
Business Case for Drone Logistics: Drones-as-a-Service (DaaS)
The economic feasibility of drone deliveries depends on how they fit into broader logistics networks. While drones offer advantages in specific scenarios, they are unlikely to fully replace existing supply chain methods. Instead, they are more likely to act as a complementary solution for certain types of deliveries where speed and accessibility are the primary concerns.
Some companies are shifting toward Drone-as-a-Service (DaaS) models, where businesses can access drone delivery networks on demand rather than owning and maintaining their own fleets. This approach lowers upfront costs for businesses and allows logistics providers to scale operations more efficiently. Drones will likely serve as one part of a larger, hybrid logistics ecosystem, working alongside ground-based delivery vehicles, robotics, and AI-driven logistics platforms. Thus, new technologies, systems innovations, and business model innovations can be expected to co-evolve bringing forth new innovation landscapes for logistics and actors involved.
Aishwarya Raghunatha – Industrial PhD student, an expert in drone transport planning and sustainability
This article is written by Aishwarya Raghunatha. Aishwarya (Aisha) is an industrial PhD student in Advanced Air Mobility and is therefore one of Aero EDIH’s resources. Aishwarya Raghunatha is affiliated with the Future-Proof Cities research program at the University of Gävle.
Her research focuses on Urban Air Mobility (UAM), exploring how hydrogen-powered or electric-powered delivery drones and drone taxis can contribute to sustainable and environmentally friendly transport systems in urban regions. Specifically, her project examines how social sustainability aspects, from the perspective of community inhabitants, are affected by digital and technological climate solutions aimed at enhancing resilience in critical infrastructures.
