By C. Perera, JadeTimes News
McDonald’s is discontinuing its artificial intelligence ordering technology tested in over 100 drive thru locations in the US, marking a potential setback in the fast food industry's swift adoption of AI.
The company collaborated with IBM to develop and trial AI driven, voice automated ordering at select restaurants. Despite this pause, McDonald’s continues to pursue AI solutions amid similar investments from competitors. The AI technology will be deactivated in participating locations by July 26, 2024, according to Restaurant Business.
"IBM remains a trusted partner, and we will continue to use many of their products across our global system," McDonald’s stated in an email to franchisees, shared with CNN. However, the company hinted at exploring other AI partners besides IBM.
McDonald’s and IBM began their partnership in 2021 to develop Automated Order Taking technology, aiming to enhance the ordering experience for customers and staff as part of the "Accelerating the Arches" growth strategy. IBM described the AOT technology as having "some of the most comprehensive capabilities in the industry, fast and accurate" under challenging conditions.
"While McDonald’s is reevaluating and refining its AOT plans, we look forward to continuing our collaboration on various other projects," IBM commented.
McDonald’s emphasized that this decision does not signify the end of its AI initiatives. The company plans to "evaluate long term, scalable solutions" for voice ordering by the end of 2024.
"AI will undoubtedly play a role in restaurant automation and efficiency in the future, but the technology is still in its early stages," remarked David Henkes, senior principal and head of strategic partnerships at Technomic. "McDonald’s commitment to AI highlights its potential benefits but also the current limitations."
Other fast food chains are also experimenting with AI. White Castle tested an automated drive thru ordering system in 2021, and Wendy’s expanded its partnership with Google Cloud to launch its AI ordering tool in May last year. Despite the enthusiasm for AI powered solutions, the technology has faced challenges. Customers have reported issues with AI misinterpreting orders, struggling to recognize accents, and distinguishing voices from background noise.