Wing Begins Papa John’s Drone Deliveries; OpenAI Gains Google Cloud Hosting After $38B Cap

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Alphabet’s Wing has begun drone deliveries of Papa John’s pizzas in Morrisville, North Carolina, marking the first commercial U.S. trial for Wing’s service. Microsoft capped its OpenAI revenue-sharing payments at $38 billion, freeing OpenAI to host services on Google Cloud and potentially boosting Alphabet’s cloud revenue.

1. Wing and Papa John’s Drone Pilot

Wing, Alphabet’s drone subsidiary, has launched a pilot delivering Papa John’s pizzas in Morrisville, North Carolina, covering orders within a three-mile radius. Drones complete each delivery in about ten minutes, marking the first U.S. commercial deployment of Wing’s service and setting the stage for potential expansion into additional markets based on pilot metrics.

2. OpenAI Revenue Cap Offers Cloud Opportunity

Microsoft and OpenAI renegotiated their partnership to cap revenue-sharing payments at $38 billion, granting OpenAI freedom to work with other cloud providers including Google Cloud. This arrangement opens the door for OpenAI to shift compute workloads to Alphabet’s infrastructure, potentially boosting Google Cloud sales as AI demand grows ahead of an anticipated IPO.

Sources

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