In December, McDonald’s launched a multi-year partnership with Google Cloud to move restaurant computations to the cloud and apply generative AI across key business priorities in restaurants worldwide. (Source: Image by RR)

McDonald’s to Continue AI Exploration After Ending IBM Drive-Through Partnership

McDonald’s announced that it will end its global partnership with IBM, which has been testing AI-powered order takers at select drive-throughs since 2021. Despite this, McDonald’s indicated that it remains open to exploring other voice ordering solutions, stating that the work with IBM provided confidence that AI could be part of its drive-throughs in the future. According to a story in time.com, the fast-food giant will continue evaluating various AI options and aims to make a decision on a future voice ordering solution by the end of the year.

The AI drive-through experiment has seen mixed success, with numerous customer complaints about inaccuracies in order taking. Videos on social media have documented various errors, including misinterpreting orders and adding incorrect items. Sources have indicated that the technology struggled with understanding different accents and dialects, contributing to the inaccuracies. Despite the challenges, IBM asserted that the technology has shown comprehensive capabilities in demanding conditions and is continuing to discuss potential pilots with other fast-food chains.

The trend of integrating AI into fast-food operations is widespread, with other chains like Wendy’s, White Castle, Panera, Arby’s, and Popeyes also adopting AI-driven solutions to enhance efficiency and reduce costs. For example, Wendy’s has partnered with Google Cloud for its “Wendy’s FreshAI” chatbot, while White Castle aims to implement SoundHound AI in over 100 locations by the end of 2024. Internationally, Popeyes U.K. has launched AI-powered drive-throughs with a reported 97% accuracy in initial tests.

While McDonald’s will shut off its current AI order technology by July 26, 2024, it maintains a broader relationship with IBM for other projects. Additionally, McDonald’s has embarked on a multi-year partnership with Google Cloud, focusing on leveraging generative AI and cloud computing to enhance various business operations globally.

read more at time.com