Papa Johns Joins Wing Drone Pilot; Pizza Hut Hit with $100M Lawsuit; El Pollo Loco Q1 Sales +5.8%
LOCO•Papa Johns launched a drone delivery pilot with Alphabet’s Wing in Charlotte, marking Wing’s first national restaurant partnership and extending its Google Cloud collaboration. Pizza Hut is sued by a Mid-Atlantic franchisee seeking $100M over mandatory Dragontail AI tech, while El Pollo Loco posted a 5.8% Q1 comp sales gain.
1. Papa Johns Drone Delivery Trial with Wing
Papa Johns announced a partnership with Wing, Alphabet’s drone delivery unit, to pilot its new oven-roasted sandwiches in Charlotte, North Carolina. This marks Wing’s first direct collaboration with a national restaurant chain and builds on Papa Johns’ existing use of Google AI and Google Cloud technologies.
2. Pizza Hut Franchisee Lawsuit over Dragontail AI Tech
A major Pizza Hut franchisee, Chaac Pizza Northeast, operating over 110 Mid-Atlantic locations, filed a lawsuit claiming the mandatory use of Dragontail AI kitchen technology has disrupted operations and harmed revenue. The franchisee alleges material declines in performance metrics and seeks at least $100 million in damages plus fees and interest.
3. El Pollo Loco Delivers 5.8% Q1 Comparable Sales Growth
El Pollo Loco reported a 5.8% increase in first-quarter comparable-store sales, exceeding analyst expectations as digital orders and menu innovation drove customer traffic. The quick-service chain highlighted strength across core markets and momentum from recent marketing and product launches.
