Taco Bell expands AI tech at drive-thru lanes as competition grows

Yum Brands announced on Wednesday, July 31, that it is expanding its AI-voiced drive-thru experiment to hundreds of Taco Bells by the end of 2024. The company said that it will decrease wait times for customers and improve order accuracy, citing two years of research involved in the implementation of the technology.

Yum Brands said that the AI will also allow the company to reduce labor costs and boost sales, while leadership said that it will decrease the workload on employees.

If this move sounds familiar, it's because it is.

McDonald's recently experimented with AI drive-thru technology. However, many customers were "not loving it," as some took to social media to air their grievances or at least get a good laugh out of the situation.

One TikTok user and her friend documented McDonald's bot adding seemingly endless amounts of chicken nuggets to their order. Others noted experiencing the bot getting a simple ice cream order wrong, adding butter and ketchup to their order, when they never ordered the items.

In June, McDonald's announced it would be ending its AI experiment by July 26. McDonald's had partnered with IBM to put the tech in more than 100 restaurants. The company promised 95% order accuracy but failed to deliver as the new system reportedly only scored around 80% accuracy. However, the burger joint has not ruled out using AI in future efforts.

Yum Brands hopes for a different outcome than McDonald's as it joins fast food rivals Wendy's and White Castle in using AI.

Taco Bell currently has more than 100 locations with AI-voiced drive-thru lanes among its approximately 7,700 stores. Yum Brands plans to add AI to five KFC locations as well.

When AI first came to the drive-thru lane, Notre Dame Assistant Professor of Technology Yong Suk Lee told CNN , "It's a labor-cutting exercise. It's directly replacing workers." He added that customers may "miss the human touch, even if it is a bit slower."

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