Connect with us

Published

on

There’s a new warehouse robot at Amazon that has a sense of touch, allowing it to handle a job previously only done by humans. Amazon unveiled the robot, called Vulcan, Wednesday at an event in Germany.

CNBC got an exclusive first look at Vulcan in April, as it stowed items into tall, yellow bins at a warehouse in Spokane, Washington. An up-close look at the “hand” of the robot reveals how it can feel the items it touches using an AI-powered sensor to determine the precise pressure and torque each object needs.

This innovative gripper helps give Vulcan the ability to manipulate 75% of the 1 million unique items in inventory at the Spokane warehouse. Amazon has used other robotic arms inside its warehouses since 2021, but those rely on cameras for detection and suction for grasp, limiting what types of objects they can handle. 

Vulcan can also operate 20 hours a day, according to Aaron Parness, who heads up the Amazon Robotics team that developed the machine.

Aaron Parness, Director of Amazon Robotics, shows CNBC’s Katie Tarasov the gripper of its newest robot, Vulcan, at an Amazon warehouse in Spokane, Washington, on April 17, 2025.

Joseph Huerta

Still, Parness told CNBC that instead of replacing people in its warehouses, Vulcan will create new, higher skilled jobs that involve maintaining, operating, installing and building the robots. 

When asked if Amazon will fully automate warehouses in the future, Parness said, “not at all.”

“I don’t believe in 100% automation,” he said. “If we had to get Vulcan to do 100% of the stows and picks, it would never happen. You would wait your entire life. Amazon understands this.”

The goal is for Vulcan to handle 100% of the stowing that happens in the top rows of bins, which are difficult for people to reach, Parness said. Limiting workers to stowing on mid-height shelves, the so-called power zone, could lower the chance for worker injuries. Amazon has long struggled with injury rates far higher than those at other warehouses, though the company claims those rates have improved significantly. 

“We have a ladder that we have to step onto several dozen times a day during your ten hour shift. There is a lot of reaching. We have to lunge and squat. So it’s a lot of tough body mechanics,” said Kari Freitas Hardy, an Amazon worker in Spokane. “As a picker, if I had an innovation like this where I could have stayed within my power zone, my days would have been just so much easier.”

Amazon said Vulcan is operating at about the same speed as a human worker and can handle items up to 8 pounds. It operates behind a fence, sequestered from human workers to reduce the risk of accidents.

Experts agree that humans will work alongside robots in warehouses like Amazon’s for the foreseeable future.

“Whereas if you build a terribly complicated automated system and it breaks, then everything stops,” said Bill Ray, a researcher at Gartner. “Taking out the last human is so expensive. It’s so disruptive. It would be a huge investment and an enormous risk.”

Freitas Hardy recently transitioned from picking items to working with the robots. She’s one of the 350,000 workers Amazon said it’s spent $1.2 billion to upskill since 2019.

“It would be many decades off, to have them just come in and take over, so at this point it’s more exciting if you ask me, to see the growth potential because that is where it does increase jobs on the back side,” Freitas Hardy said.

Although Freitas Hardy said she isn’t making more money in her new role, Amazon said others who participate in its Mechatronics and Robotics Apprenticeship program typically receive pay increases of about 40%.

Amazon said the team that developed Vulcan has grown from a handful of people to more than 250 employees in the three years since the project began. Amazon wouldn’t disclose how much it cost to develop Vulcan, but Parness said it represents a big business opportunity.

“Vulcan can interact with the world in a more human-like manner, and that gives us a lot more process paths that we can use automation to bring down the cost that our customer pays, and the speed with which we can deliver those products to our customers,” Parness said.

Another big return on investment may come from robots making fewer mistakes than humans.

“Product returns are incredibly high and product returns are incredibly expensive,” Gartner’s Ray said.  “Some of them will be because the wrong thing was put in the box. And if you can reduce that, that’s a real cost saving straight away.”

Meanwhile, Amazon’s humanoid robot Digit has yet to bring operational efficiency. Amazon announced in 2023 that it was testing the Agility Robotics bipedal robot to help organize and move totes, but it’s yet to deploy Digit at scale.

When asked if Vulcan indicates that robots have moved from gimmick to real world application, Parness said, “It doesn’t matter if the robot has legs or wheels or it’s bolted to the floor. I think the thing that makes the robot useful is having that sense of touch so that it can interact in high contact and high clutter environments. That’s the tipping point for me, and I think we’re right there.”

For now, Vulcan is only in full operation at the Spokane warehouse. Another version of Vulcan that can pick specific items from inventory is being tested in Hamburg, Germany. Amazon said it plans to add Vulcan in more U.S. and German facilities in 2026.

Watch the video for an in-depth look at exactly how Vulcan works: https://www.cnbc.com/video/2025/05/06/meet-vulcan-the-first-amazon-robot-with-a-sense-of-touch.html

Continue Reading

Technology

AI voice startup ElevenLabs pushes global expansion as it gears up for an IPO

Published

on

By

AI voice startup ElevenLabs pushes global expansion as it gears up for an IPO

Founded in 2022, ElevenLabs is an AI voice generation startup based in London. It competes with the likes of Speechmatics and Hume AI.

Sopa Images | Lightrocket | Getty Images

LONDON — ElevenLabs, a London-based startup that specializes in generating synthetic voices through artificial intelligence, has revealed plans to be IPO-ready within five years.

The company told CNBC it is targeting major global expansion as it prepares for an initial public offering.

“We expect to build more hubs in Europe, Asia and South America, and just keep scaling,” Mati Staniszewski, ElevenLabs’ CEO and co-founder, told CNBC in an interview at the firm’s London office.

He identified Paris, Singapore, Brazil and Mexico as potential new locations. London is currently ElevenLabs’ biggest office, followed by New York, Warsaw, San Francisco, Japan, India and Bangalore.

Staniszewski said the eventual aim is to get the company ready for an IPO in the next five years.

“From a commercial standpoint, we would like to be ready for an IPO in that time,” he said. “If the market is right, we would like to create a public company … that’s going to be here for the next generation.”

Undecided on location

Fundraising plans

ElevenLabs was valued at $3.3 billion following a recent $180 million funding round. The company is backed by the likes of Andreessen Horowitz, Sequoia Capital and ICONIQ Growth, as well as corporate names like Salesforce and Deutsche Telekom.

Staniszewski said his startup was open to raising more money from VCs, but it would depend on whether it sees a valid business need, like scaling further in other markets. “The way we try to raise is very much like, if there’s a bet we want to take, to accelerate that bet [we will] take the money,” he said.

Continue Reading

Technology

U.S. lifts chip software curbs on China amid trade truce, Synopsys says

Published

on

By

U.S. lifts chip software curbs on China amid trade truce, Synopsys says

Synopsys logo is seen displayed on a smartphone with the flag of China in the background.

Sopa Images | Lightrocket | Getty Images

The U.S. government has rescinded its export restrictions on chip design software to China, U.S.-based Synopsys announced Thursday. 

“Synopsys is working to restore access to the recently restricted products in China,” it said in a statement

The U.S. had reportedly told several chip design software companies, including Synopsys, in May that they were required to obtain licenses before exporting goods, such as software and chemicals for semiconductors, to China. 

The U.S. Commerce Department did not immediately respond to a request for comment from CNBC.

The news comes after China signaled last week that they are making progress on a trade truce with the U.S. and confirmed conditional agreements to resume some exchanges of rare earths and advanced technology.

Continue Reading

Technology

Datadog stock jumps 10% on tech company’s inclusion in S&P 500 index

Published

on

By

Datadog stock jumps 10% on tech company’s inclusion in S&P 500 index

The Datadog stand is being displayed on day one of the AWS Summit Seoul 2024 at the COEX Convention and Exhibition Center in Seoul, South Korea, on May 16, 2024.

Chris Jung | Nurphoto | Getty Images

Datadog shares were up 10% in extended trading on Wednesday after S&P Global said the monitoring software provider will replace Juniper Networks in the S&P 500 U.S. stock index.

S&P Global is making the change effective before the beginning of trading on July 9, according to a statement.

Computer server maker Hewlett Packard Enterprise, also a constituent of the index, said earlier on Wednesday that it had completed its acquisition of Juniper, which makes data center networking hardware. HPE disclosed in a filing that it paid $13.4 billion to Juniper shareholders.

Over the weekend, the two companies reached a settlement with the U.S. Justice Department, which had sued in opposition to the deal. As part of the settlement, HPE agreed to divest its global Instant On campus and branch business.

While tech already makes up an outsized portion of the S&P 500, the index has has been continuously lifting its exposure as the industry expands into more areas of society.

DoorDash was the latest tech company to join during the last rebalancing in March. Cloud software vendor Workday was added in December, and that was preceded earlier in 2024 with the additions of Palantir, Dell, CrowdStrike, GoDaddy and Super Micro Computer.

Stocks often rally when they’re added to a major index, as fund managers need to rebalance their portfolios to reflect the changes.

New York-based Datadog went public in 2019. The company generated $24.6 million in net income on $761.6 million in revenue in the first quarter of 2025, according to a statement. Competitors include Cisco, which bought Splunk last year, as well as Elastic and cloud infrastructure providers such as Amazon and Microsoft.

Datadog has underperformed the broader tech sector so far this year. The stock was down 5.5% as of Wednesday’s close, while the Nasdaq was up 5.6%. Still, with a market cap of $46.6 billion, Datadog’s valuation is significantly higher than the median for that index.

— CNBC’s Ari Levy contributed to this report.

CNBC: Datadog CEO Olivier Pomel on the cloud computing outlook

Datadog CEO Olivier Pomel on the cloud computing outlook

Continue Reading

Trending