Verified

FedEx

Scaling
  • Logistics
  • 450,000+ employees
  • Atlas data platform, built in-house
  • 200+ AI use cases (Feb 2026)
  • Fortune AIQ 50 (2025)

FedEx deploys AI through Atlas, an enterprise data platform it built that supported more than 200 AI use cases in Feb 2026, under Chief Digital and Information Officer Vishal Talwar, who also runs the FedEx Dataworks data business. FedEx builds its own models for forecasting, routing, delivery dates and predictive maintenance, is moving robotic trailer loading and unloading from pilots into hubs with Dexterity and Berkshire Grey, and targets AI in more than half of its core operational workflows by 2028.

fedex.com

Their approach to AI

The platform
Atlas, the enterprise data platform FedEx built, held a substantial portion of company data and supported more than 200 AI use cases in Feb 2026, and FedEx plans to move all of its data onto Atlas by the end of 2027.
The models
FedEx builds its own predictive models for forecasting, delivery dates and maintenance, uses generative AI in its Customs AI chatbot, and buys physical AI for trailers from Dexterity and Berkshire Grey; FedEx has not named a large language model provider.
The reach
FedEx built a persona-based AI fluency program for about 300,000 employees, with advanced training for all technology specialists (Feb 2026); FedEx has published no count of weekly AI users.
The catch
FedEx has put figures on two AI returns, $10 million or more a year from predictive maintenance and tens of millions of dollars of recovered surcharge revenue, while then-CFO John Dietrich said in Feb 2026 that the 2029 targets assume no material gains from robotic automation.

Snapshot

Employees
450,000+
Federal Express had about 452,000 at May 31, 2026; FedEx Freight was spun off on Jun 1, 2026
Technology budget
Not disclosed
Capital spending of about $3.9B planned for calendar 2026, $0.4B more than 2025, driven mainly by Network 2.0 and facilities
AI/ML headcount
Not disclosed
FedEx Dataworks, the data and AI products unit, had about 200 employees (May 2026)
Who owns AI
Vishal Talwar, CDIO
Also president of FedEx Dataworks since Aug 2025; member of the eight-person Executive Committee
Platform
Atlas, built in-house
Enterprise data platform; all FedEx data to move onto it by the end of 2027
Models
Proprietary ML, generative AI
Generative AI in Customs AI since Aug 2025; model provider not named
Reach
AI fluency program for ~300,000
Feb 2026; the AI Education and Literacy program began in Dec 2025 with Accenture
Use cases
200+
Supported by Atlas (Feb 2026); target of AI in 50%+ of core workflows by 2028

Key findings

  1. FedEx said at its Feb 12, 2026 Investor Day that Atlas, its enterprise data platform, supports more than 200 AI use cases and will hold all FedEx data by the end of 2027, and that AI will be built into more than 50% of core operational workflows by 2028.

  2. Vishal Talwar, who joined FedEx from Accenture on Aug 15, 2025 as Chief Digital and Information Officer and president of FedEx Dataworks, owns FedEx's data, technology, cybersecurity and AI strategy and sits on the eight-person Executive Committee.

  3. FedEx has put figures on two AI returns: predictive maintenance on its MOBIUS platform, which monitors 18,000 assets across 41 surface facilities, saves $10 million or more a year (Feb 2026), and Vishal Talwar said in Sep 2026 that AI recovers tens of millions of dollars of annual revenue by catching non-standard packages that should have carried a surcharge.

  4. FedEx is moving robotic trailer handling from pilots into hubs: Dexterity's Mech loaders reached production scale at the Hagerstown, Maryland hub in Jul 2026, Berkshire Grey's Scoop unloaders were due in operation later in 2026, and Kawal Preet said in Feb 2026 that FedEx will deploy the technology across thousands of dock doors in more than 20 U.S. hubs over the next few years.

  5. FedEx Dataworks sells FedEx network data through partners, including a Retail Momentum Index with Dun & Bradstreet (Feb 2026), supplier intelligence inside ServiceNow procurement workflows (May 2026) and financing signals for Stripe Capital planned for early 2027, though Raj Subramaniam said in Feb 2026 that the 2029 targets include minimal Dataworks revenue.

Where FedEx sits

Stage
Scaling

FedEx sits at Scaling: its Atlas enterprise data platform supported more than 200 AI use cases in Feb 2026, Executive Committee member Vishal Talwar owns AI as Chief Digital and Information Officer and reports returns such as the $10 million or more a year saved by predictive maintenance, and an AI literacy program covers all team members. FedEx has disclosed no generative AI assistant open to most employees, the weakest part of its Scaling case, and falls short of Embedded because it publishes no figure on weekly AI use, AI in more than half of core operational workflows is a 2028 target, robotic trailer loading reached its first production hub only in Jul 2026, and the 2029 financial targets assume no material automation gains.

How the stages are defined
Ownership
Vishal Talwar, EVP and Chief Digital and Information Officer, on the Executive Committee
Platform
Hybrid: Atlas data platform built in-house; robotics and SaaS bought
Models
Proprietary predictive models; generative AI provider not named
Hosting
Cloud-first, mainframes largely retired; Azure behind Surround at its 2020 launch; Google Cloud for the Army project (2026); Atlas cloud not named
Reach
AI fluency program for about 300,000 employees (Feb 2026)

How they deploy

Simplify, digitize, then embed AI

Vishal Talwar told investors in Feb 2026 that FedEx accumulated about 7,500 applications under its former operate-independently model and that AI cannot be scaled on fragmented processes. FedEx's sequence is to standardize the work under One FedEx, digitize the workflow, and then embed AI in the decision loop; FedEx has cut its application footprint by 30% and targets a 50% cut by 2029, and has merged nine sort processes into one.

Efficiency, differentiation and new revenue

FedEx groups its AI work into three areas, Vishal Talwar said in Feb 2026: taking structural cost out of enterprise and operational workflows, improving service and recovery in the core network, and creating new digital revenue through FedEx Dataworks. Raj Subramaniam called digital intelligence a force multiplier at the same Investor Day and said AI and data analytics already inform network planning, forecasting, routing and customer visibility.

Data first

Raj Subramaniam said in Nov 2025 that FedEx began organizing its data on a platform in 2020 and that AI is nothing without data. FedEx's network generates about 2 petabytes of data a day, and FedEx plans to consolidate all of it onto Atlas, its enterprise data platform, by the end of 2027, then build a single AI foundation that combines trusted data and governed models with autonomous agents under a responsible AI framework (Feb 2026).

Physical AI in the hubs

Raj Subramaniam said in Nov 2025 that FedEx's newer U.S. ground hubs are fully automated except for truck unloading and loading, which he called the hardest physical AI problems. Kawal Preet said in Feb 2026 that FedEx will deploy automated trailer loading and unloading across thousands of dock doors in more than 20 U.S. hubs over the next few years and is testing autonomous trucks in the middle mile, while CFO John Dietrich said the 2029 targets assume no material numbers from that automation.

Selling the data

FedEx Dataworks has three planned lines of business, Vishal Talwar said in Feb 2026: subscription insights such as the Dun & Bradstreet Retail Momentum Index, which carries a revenue share; software products built from internal tools such as RouteSmart route planning and the MOBIUS predictive maintenance system; and supply chain orchestration for customers, with pricing still undecided. Raj Subramaniam said the 2029 targets include minimal Dataworks revenue.

Deployment model
FedEx runs AI from a central data and technology organization with delivery through its operating and commercial groups. Senior leaders of the Data and Technology and FedEx Dataworks organizations report to Chief Digital and Information Officer Vishal Talwar, as does Chief Information Security Officer Gene Sun's security organization of more than 400 professionals. Kawal Preet, who reports to CEO Raj Subramaniam, runs DRIVE, network design and the physical AI rollout in the hubs; Brie Carere's commercial organization owns customer-facing digital products such as Tracking+, Returns+ and Global Trade Navigator; and operations under Scott Ray and Richard Smith use AI planning and routing tools in the U.S., Canada and international network. FedEx said in Feb 2026 that it would reclassify about $200 million of data and technology costs from FedEx Dataworks into the U.S. Domestic segment.
Model providers
FedEx builds most of its AI in-house: machine learning volume forecasts in its network operating plan, a delivery-date prediction model on fedex.com, machine learning tools in dimensional pricing, forecasting models for demand and capacity management, and the AI models behind MOBIUS predictive maintenance. Customs AI, launched in six Asia-Pacific markets in Aug 2025, uses generative AI to help customers classify goods, and FedEx added an AI assistant to its Developer Portal in May 2026; FedEx has not named the large language model provider behind either. FedEx buys physical AI from Dexterity, whose Foresight world model drives its Mech trailer loaders, and Berkshire Grey, whose Scoop unloader recognizes mixed packages. Tracking+ and Returns+ are delivered with parcelLab, and ServiceNow's AI Platform carries the joint procurement workflows.
Data and infrastructure
FedEx's network generates about 2 petabytes of data a day, and Atlas, the enterprise data platform, held a substantial portion of it in Feb 2026, with full consolidation planned by the end of 2027. FedEx's Jul 2026 annual report says the company has substantially advanced its move from mainframe computing to cloud-based systems, and Vishal Talwar described a cloud-first platform replacing hundreds of legacy systems in Feb 2026; FedEx has not named the cloud that hosts Atlas or its models. FedEx Surround launched in May 2020 on Microsoft Azure and Dynamics 365, MOBIUS sends work orders to IBM Maximo, and the FedEx capabilities for the U.S. Army's logistics project will run in Google Cloud's Impact Level 5 environment (Aug 2026). FedEx joined the Hedera Council in Feb 2026 to help govern a distributed ledger for verified supply chain data.

Platforms and internal tools

  • AtlasBy Feb 2026

    Atlas is FedEx's enterprise data platform, home to a substantial portion of FedEx data and the base for more than 200 AI use cases in Feb 2026. FedEx plans to consolidate all of its data onto Atlas by the end of 2027 and to build a unified AI foundation with governed models and autonomous agents on top of it.

    Source

  • MOBIUS

    MOBIUS (Maintenance Optimization by IoT Unified Systems) is FedEx's enterprise predictive maintenance platform, which combines IoT sensor, PLC, ultrasound and imaging data to anticipate equipment failures and open work orders automatically in IBM Maximo. MOBIUS monitored 18,000 mechanical assets, ran in 41 surface operations facilities and had prevented 17,000 hours of potential downtime by Mar 2026, when it won a CIO 100 award.

    Source

  • FedEx SurroundMay 2020

    FedEx Surround is a monitoring and intervention service that gives businesses near-real-time shipment analytics; FedEx launched it with Microsoft on Azure and Dynamics 365 in 2020, and Brie Carere described it in Feb 2026 as an AI-powered platform that anticipates reroutes for weather, hub congestion and traffic for healthcare customers.

    Source

  • FedEx Route Optimization (RouteSmart)

    FedEx Route Optimization (FRO) is the route planning tool FedEx built on RouteSmart's Routing as a Service product; FedEx bought RouteSmart Technologies in Feb 2025, rolled FRO across its U.S. and Canada surface network and began deploying it in Europe, starting in France, by Feb 2026. Bala Vaidyanathan said in Apr 2026 that FedEx plans and optimizes about 100,000 first- and last-mile routes a day with AI.

    Source

  • Customs AI and the clearance platformAug 2025

    Customs AI is a generative AI chatbot inside FedEx Ship Manager that prompts customers for item descriptions and suggests Harmonized Tariff Schedule codes, launched in Australia, Guam, Malaysia, New Zealand, Singapore and the Philippines in Aug 2025. Behind it, FedEx is replacing more than 470 clearance applications with a clearance platform that uses AI at intake and in tariff classification, alongside EXPRESSCLEAR, Broker Butler and the FedEx Import Tool (Feb 2026).

    Source

  • Global Trade Navigator and FedEx Trade PlannerSep 2026

    Global Trade Navigator is a suite of international shipping tools FedEx introduced on Sep 9, 2026, covering planning, shipment data, checkout duties, trade APIs and clearance reporting. Its FedEx Trade Planner uses AI-driven search or a photo upload to generate an item description, Harmonized System code help and required documents before a label is created, according to FedEx's product page.

    Source

  • FedEx Tracking+ and Returns+Feb 2026

    FedEx Tracking+ and Returns+ are white-labeled post-purchase tools built with parcelLab that merchants embed in their own channels, with automated answers to order and refund questions, anomaly detection and rule-based returns policies; Brie Carere said in Mar 2026 that the U.S. launch would extend to Europe that April.

    Source

  • Robotic trailer loading and unloadingPilots by Feb 2026

    FedEx uses Dexterity's Mech robots, driven by the Foresight world model, to load trailers and Berkshire Grey's Scoop system to unload them. The Dexterity program moved beyond its pilot site to production scale at the Hagerstown, Maryland hub in Jul 2026, and FedEx said in Oct 2026 it was deploying the loaders there for Peak; the Scoop pilot was underway in Feb 2026, with the first systems due in operation later in calendar 2026.

    Source

  • FedEx Dataworks products2026

    FedEx Dataworks turns FedEx network data into products sold through partners: the Retail Momentum Index with Dun & Bradstreet (announced Feb 2026); supplier insights, supplier visibility and success indicators inside ServiceNow Source-to-Pay (May 2026); and shipment-based signals for Stripe Capital financing, with the first joint Stripe solution planned for early 2027. A FedEx Dataworks-led team is also working with the U.S. Army on a predictive logistics network for materiel management and demand forecasting, with an implementation plan due by Nov 2026.

    Source

  • FedEx Virtual Assistant and Developer Portal assistant

    FedEx Virtual Assistant is an AI-enabled service on fedex.com that answers customer shipping questions, and in May 2026 FedEx added an AI-driven assistant to the FedEx Developer Portal that answers documentation and integration questions, according to the Jul 2026 annual report.

    Source

Vendors and partners

  • MicrosoftMay 2020

    Azure and Dynamics 365 at the launch of FedEx Surround · FedEx and Microsoft announced a multiyear collaboration in May 2020 combining FedEx's network data with Azure, Dynamics 365 and their AI capabilities; FedEx Surround was the first product.

  • AccentureDec 2025

    AI training through its LearnVantage platform · Accenture provides customized, role-based AI education for FedEx staff; Vishal Talwar came to FedEx from Accenture Technology, where he had worked on FedEx's digital transformation for nearly two years.

  • ServiceNow

    Joint AI procurement and supply chain workflows with FedEx Dataworks · ServiceNow and FedEx Dataworks announced an expanded collaboration with joint innovation hubs and shared engineering in Oct 2025 and extended it to Source-to-Pay and supply chain management workflows in May 2026.

  • Dexterity

    Physical AI for autonomous trailer loading · FedEx and Dexterity expanded their multi-year program to production scale at the Hagerstown hub in Jul 2026.

  • Berkshire GreyAug 2021

    Robotic sortation and the Scoop trailer unloader · FedEx Ground installed Berkshire Grey robotic sortation in Queens, NY in 2021, and the two companies developed the Scoop unloader, in pilot by Feb 2026.

  • AuroraSep 2021

    Autonomous trucking on middle-mile highway routes · FedEx, Aurora and PACCAR began an autonomous linehaul pilot on FedEx's Dallas to Houston lanes in Sep 2021, and Raj Subramaniam named Aurora as FedEx's middle-mile autonomous trucking partner in Sep 2026.

  • OneRailMar 2026

    AI dispatch behind FedEx SameDay Local

  • parcelLabFeb 2026

    Delivery partner for FedEx Tracking+ and Returns+

  • Dun & BradstreetFeb 2026

    Retail Momentum Index with FedEx Dataworks, under a revenue share

  • Google CloudAug 2026

    Hosts FedEx capabilities for the U.S. Army logistics project

  • StripeOct 2026

    Financing signals from FedEx Dataworks for Stripe Capital; payment processing

  • IBM

    Maximo receives the work orders MOBIUS generates

Leadership

AI, data and platform leaders

VT

Vishal Talwar

EVP, Chief Digital and Information Officer; President, FedEx Dataworks

Vishal Talwar joined FedEx on Aug 15, 2025 after ten years as senior managing director and chief growth officer of Accenture Technology, where he had worked on FedEx's digital transformation for nearly two years, and earlier roles at Wipro, Dell Services and IBM. Talwar leads FedEx's data and technology strategy, business architecture, cybersecurity and AI, sits on the eight-person Executive Committee, presented the AI strategy at the Feb 2026 Investor Day, and told the Wall Street Journal in Mar 2026 that every FedEx employee and task will be adapted to AI.

KP

Kawal Preet

EVP, Chief Planning and Engineering Officer

Kawal Preet took a new role leading planning, engineering and transformation on Oct 1, 2025, reporting to Raj Subramaniam, after 28 years at FedEx, most recently as regional president of Asia Pacific; the Jul 2026 annual report gives her title as EVP, Planning, Engineering, and Transformation. Preet oversees DRIVE and network design and leads the physical AI rollout for trailer loading and unloading with Dexterity and Berkshire Grey.

BV

Bala Vaidyanathan

Senior Vice President, Data and AI

Unconfirmed

Bala Vaidyanathan leads data and AI at FedEx; a Conference Board speaker biography gives his title as senior vice president of Data and AI, and Supply Chain Dive called him VP and lead for data and AI in Apr 2026. Vaidyanathan told Supply Chain Dive that FedEx plans about 100,000 routes a day with AI, is testing RFID sensors on select customers' packages, and treats AI as the main show of Network 2.0 rather than a side project.

AR

Arvind Rajagopalan

Vice President, Data and AI

Arvind Rajagopalan leads the governance and operation of FedEx's data platforms and enterprise AI capabilities, according to his speaker biography for ONUG's AI Networking Summit, where he and Gene Sun were listed to give a keynote on how FedEx governs AI on Oct 28, 2026. Rajagopalan joined FedEx after more than two decades leading enterprise architecture and data and AI engineering at a global telecom company.

GS

Gene Sun

Corporate Vice President and Chief Information Security Officer

Gene Sun joined FedEx in 1997 as a systems analyst and was listed as corporate vice president and CISO for an Oct 2026 keynote on FedEx's AI guardrails. FedEx's CISO reports to Vishal Talwar, runs a security organization of more than 400 professionals and sponsors the Data and Technology Risk Council, and FedEx folds AI security and governance risks into its cybersecurity program (Jul 2026).

TK

Tony Kreager

Enterprise Vice President, Information Technology; Chief Engineering and Commercial Officer, FedEx Dataworks

Unconfirmed

Tony Kreager held this title when he spoke for FedEx Dataworks on the Dun & Bradstreet Retail Momentum Index in Feb 2026; FedEx has published no fuller biography for Kreager and no later statement of his role.

JB

Jason Brenner

Senior Vice President, Digital Portfolio

Jason Brenner speaks for FedEx's customer-facing digital products, including the AI-powered Tracking+ and Returns+ launch in Feb 2026 and Global Trade Navigator in Sep 2026, whose Trade Planner uses AI search and photo upload to help classify goods.

Executives

RS

Raj Subramaniam

President and Chief Executive Officer

Raj Subramaniam joined Federal Express in 1991, became FedEx president in 2019 and CEO in Jun 2022, the second in FedEx's history; he has also been president and CEO of Federal Express since Jun 2024. Subramaniam sets FedEx's data and AI agenda: he called digital intelligence a force multiplier at the Feb 2026 Investor Day, said in Jun 2026 that FedEx has embedded AI into its DRIVE process, and told the WSJ Leadership Institute in Sep 2026 that AI has to be led by the CEO.

BC

Brie Carere

EVP and Chief Customer Officer

Brie Carere joined FedEx in 2001 and has been Chief Customer Officer since Jun 2022, responsible for sales, marketing, product, e-commerce, digital and customer experience. Carere's organization launched Tracking+ and Returns+ and sells the AI-powered Surround platform to healthcare customers, and Carere said in Mar 2026 that machine learning tools now improve FedEx's dimensional pricing.

SR

Scott Ray

Chief Operating Officer, U.S. and Canada

Scott Ray became COO for the U.S. and Canada in Jun 2026 after running FedEx Ground as president from Apr 2023 to Jan 2026; he started as a package handler at RPS, FedEx Ground's predecessor, in 1987. Ray runs the Network 2.0 surface integration, where predictive analytics flag potential issues and suggest reroutes before delays reach customers (Feb 2026).

RS

Richard Smith

COO, International, and CEO, Airline

Richard Smith has run FedEx's international operations and airline since Jun 2024, was president and CEO of Federal Express from Sep 2022 to Apr 2023, and joined the FedEx board in Sep 2025. Smith said in Feb 2026 that FedEx is building an AI-enabled planning layer that lets it move air capacity between trade lanes faster than competitors.

CR

Claude Russ

Enterprise Vice President, Finance, and Interim Chief Financial Officer

Claude Russ has been interim CFO since Jun 1, 2026 and leads the finance initiatives within DRIVE; Russ was chief operating officer of FedEx Dataworks from Jan 2021 to Jul 2023. Jamere Jackson, CFO of AutoZone, succeeds Russ as CFO on Nov 30, 2026.

Board

NN

Nancy Norton

Director; Chair, Cyber and Technology Oversight Committee

Nancy Norton, a retired U.S. Navy vice admiral and former director of the Defense Information Systems Agency, has been a FedEx director since 2022 and chairs the board committee that reviews major technology projects and assesses whether FedEx's AI and machine learning programs support its strategy; the committee met seven times in fiscal 2026.

AI org map

Central CDIO organization over Data and Technology and FedEx Dataworks; delivery through planning, commercial and operations groups

FedEx combined its data, technology and Dataworks organizations under one executive in Jul 2024, when Sriram Krishnasamy became Chief Digital and Information Officer while remaining Chief Transformation Officer. Vishal Talwar replaced Krishnasamy in Aug 2025 with the senior leaders of Data and Technology and FedEx Dataworks reporting directly to him, and Talwar sits on FedEx's eight-person Executive Committee. Kawal Preet has led the planning, engineering and transformation organization, which runs DRIVE and the physical AI rollout, since Oct 2025, reporting to the CEO, and a cross-functional AI Council supports the governance of AI across the company (Jul 2026).

FedEx has not disclosed the size of its data and AI workforce. FedEx's AI work sits in the Data and Technology organization and FedEx Dataworks, which had about 200 employees in May 2026, both under Chief Digital and Information Officer Vishal Talwar, where Bala Vaidyanathan and Arvind Rajagopalan lead data and AI; in Kawal Preet's planning and engineering organization, which runs physical AI and network design; and in the commercial digital portfolio under Brie Carere. FedEx's information security organization of more than 400 professionals also reports to Talwar, and FedEx said in Feb 2026 that all of its technology specialists take advanced AI training.

Reporting lines

  • President and CEO

    Raj Subramaniam

    • Chief Digital and Information Office

      Vishal Talwar, EVP and CDIO

      Executive Committee member; the line to the CEO is inferred from that membership, not published

      • Data and Technology

        Senior leaders report directly to Vishal Talwar (Aug 2025); data and AI leaders named in 2026 include Bala Vaidyanathan and Arvind Rajagopalan, whose exact reporting lines are not published

      • FedEx Dataworks

        Vishal Talwar, President

        About 200 employees (May 2026); Tony Kreager was chief engineering and commercial officer in Feb 2026

      • Information Security

        Gene Sun, CVP and Chief Information Security Officer

        The CISO reports to the CDIO and sponsors the Data and Technology Risk Council (Jul 2026 annual report)

    • Planning, Engineering and Transformation

      Kawal Preet, EVP

      DRIVE, network design and physical AI; Executive Committee member

    • Chief Customer Office

      Brie Carere, EVP

      • Digital Portfolio

        Jason Brenner, SVP

        Reporting line inferred from Brie Carere's remit over digital products, not published

    • U.S. and Canada Operations

      Scott Ray, COO

    • International and Airline

      Richard Smith, COO and CEO, Airline

  • AI Council

    Cross-functional group of employees supporting the evaluation, governance and use of AI (Jul 2026 annual report); chair and reporting line not published

FedEx's leadership page, checked Nov 1, 2026, lists Kawal Preet as EVP and Chief Planning and Engineering Officer, while the Jul 2026 annual report gives her title as EVP, Planning, Engineering, and Transformation. Bala Vaidyanathan's title appears as SVP in a Conference Board biography and as VP in Supply Chain Dive's Apr 2026 report. FedEx has not published the reporting lines below the Executive Committee beyond Vishal Talwar's Aug 2025 announcement, Kawal Preet's Oct 2025 appointment and the CISO's line to the CDIO.

Where the AI workforce sits

  • Data and Technology and FedEx Dataworks, under the CDIO

    FedEx Dataworks had about 200 employees in May 2026; FedEx has not published the size of the Data and Technology organization or its data scientists.

    Not disclosed
  • Planning, engineering and transformation

    Kawal Preet's organization brings together engineers, planners and technologists and runs the physical AI rollout in the hubs.

    Not disclosed
  • Commercial digital products

    Brie Carere's digital portfolio team builds customer tools such as Tracking+, Returns+ and Global Trade Navigator.

    Not disclosed

Named people

Executive sponsors
Data and technology, FedEx Dataworks
FedEx Dataworks: about 200 employees (May 2026); Data and Technology not disclosed
  • Vishal Talwar

    EVP, Chief Digital and Information Officer; President, FedEx Dataworks

  • Bala Vaidyanathan

    SVP, Data and AI

  • Arvind Rajagopalan

    VP, Data and AI · Data platforms and enterprise AI capabilities

  • Tony Kreager

    Enterprise VP, Information Technology; Chief Engineering and Commercial Officer, FedEx Dataworks

Security and AI risk
More than 400 security, risk and compliance professionals (Jul 2026)
  • Gene Sun

    Corporate VP and Chief Information Security Officer

Planning, engineering and physical AI
  • Kawal Preet

    EVP, Chief Planning and Engineering Officer · Oversees DRIVE and the trailer robotics rollout

Commercial digital products
  • Brie Carere

    EVP and Chief Customer Officer

  • Jason Brenner

    SVP, Digital Portfolio

Operations
  • Scott Ray

    COO, U.S. and Canada

  • Richard Smith

    COO, International, and CEO, Airline

  • Wouter Roels

    Regional President, Europe · Rolling out FedEx Route Optimization and AI monitoring of physical infrastructure in Europe (Feb 2026)

Board oversight
  • Nancy Norton

    Chair, Cyber and Technology Oversight Committee

Use cases

FedEx said in Feb 2026 that Atlas supports more than 200 AI use cases, spanning network forecasting and planning, routing, customs clearance, predictive maintenance, pricing and surcharges, customer tracking and returns, and robotic trailer handling. FedEx has published business returns for two of them: predictive maintenance saves $10 million or more a year (Feb 2026), and AI that catches non-standard packages missing a surcharge recovers tens of millions of dollars of revenue a year (Sep 2026). At the firm level, FedEx reports $4 billion of DRIVE structural savings from fiscal 2023 through fiscal 2025 and targets $2 billion more from Network 2.0 by the end of 2027 without saying how much comes from AI.

Use caseAreaStatusROI
Predictive maintenance (MOBIUS)

MOBIUS combines sensor and imaging data with proprietary AI models to anticipate failures in sorting equipment, monitors 18,000 assets in 41 surface facilities and had prevented 17,000 hours of potential downtime by Mar 2026.

Network operationsIn productionMaintenance savings of $10 million or more a year, credited to proprietary AI models (Feb 2026)Source
Surcharge capture on non-standard packages

FedEx uses AI to catch mis-tracked, non-standard packages that should have carried a surcharge, Vishal Talwar told the WSJ Leadership Institute in Sep 2026.

PricingIn productionTens of millions of dollars a year in recovered surcharge revenue, credited to AI (Sep 2026)
Dimensional pricing

FedEx enhanced its dimensional pricing models for packages and express freight with machine learning tools that improve accuracy (Mar 2026).

PricingIn production
Volume forecasting for surface facilities

FedEx's dock modernization includes a network operating plan that uses machine learning and algorithms to forecast volume in more detail, which FedEx says is raising productivity at its surface facilities (Jul 2026).

Network operationsIn production
Demand and capacity management

FedEx is moving demand and capacity planning from static workflows to connected ones fed by real-time market data, with forecasting AI models, and Richard Smith said an AI-enabled planning layer lets FedEx shift air capacity between trade lanes.

Network planningIn production
Route optimization

FedEx Route Optimization, built on RouteSmart technology, plans pickup and delivery routes across the U.S. and Canada surface network and is rolling out in Europe, part of what Kawal Preet called an ecosystem of route, sort and linehaul tools powered by AI.

Network operationsIn production
Customs clearance platform

FedEx is replacing more than 470 clearance applications with a clearance platform that uses AI at intake and in tariff classification to get cleaner data into the process, which Vishal Talwar credited with keeping clearance running through the surge in brokerage filings after the U.S. de minimis exemption ended.

InternationalIn production
Customs AI chatbot and HTS code lookup

Customs AI is a generative AI chatbot in FedEx Ship Manager, available in six Asia-Pacific markets since Aug 2025, that prompts customers for item descriptions and suggests Harmonized Tariff Schedule codes; a separate HTS Code Lookup feature suggests codes for U.S.-bound shipments.

InternationalIn production
Estimated delivery dates

A machine learning and AI model developed by FedEx sets estimated delivery dates on fedex.com, including updates for early or delayed shipments.

Customer experienceIn production
FedEx Virtual Assistant and Developer Portal assistant

FedEx Virtual Assistant answers customer shipping questions on fedex.com so service and sales staff can focus on higher-value work, and an AI-driven assistant added to the FedEx Developer Portal in May 2026 answers integration questions.

Customer experienceIn production
FedEx Tracking+ and Returns+

Tracking+ and Returns+ give merchants an AI layer, delivered with parcelLab, that answers order and refund questions, detects anomalies and adjusts returns policies inside the merchant's own channels.

Customer experienceIn production
FedEx Surround for healthcare

Brie Carere described Surround as an AI-powered platform that anticipates when a healthcare shipment needs rerouting for weather, hub congestion or traffic.

Customer experienceIn production
Robotic trailer loading (Dexterity)

Dexterity's Mech robots load trailers at the Hagerstown, Maryland hub, the program's first site beyond the pilot, and FedEx said in Oct 2026 it was deploying them there for Peak and post-Peak operations.

Hub operationsIn production
Robotic trailer unloading (Berkshire Grey Scoop)

Berkshire Grey's Scoop unloads trailers of mixed packages autonomously, with human help for exceptions; the pilot was underway in Feb 2026, and FedEx expected the first systems in operation later in calendar 2026.

Hub operationsPilot
AI sorting robot in Cologne

An AI-powered robotic arm sorts documents and small parcels at FedEx's Cologne air network location, handling up to 1,000 pieces an hour across about 90 destinations (Jun 2025).

Hub operationsIn production
AI in the DRIVE process

Raj Subramaniam said in Jun 2026 that FedEx has embedded AI into DRIVE, the planning, decision-making and performance cadence that runs its transformation programs.

EnterpriseIn production
Retail Momentum Index with Dun & Bradstreet

The Retail Momentum Index combines FedEx Dataworks surface and air shipping data with Dun & Bradstreet maritime and business data to give a near-real-time view of U.S. retail supply and demand, sold on subscription with the revenue shared between the two companies.

FedEx DataworksAnnounced
Supplier intelligence in ServiceNow

FedEx Dataworks supplies shipment delays, route performance and benchmarks to ServiceNow Source-to-Pay workflows for supplier insights, onboarding assessments and supplier monitoring.

FedEx DataworksAnnounced
Financing signals for Stripe Capital

FedEx Dataworks will share shipment and fulfillment signals so Stripe Capital can assess financing for FedEx's small and medium business customers, with the first joint solution planned for early 2027.

FedEx DataworksAnnounced

Adoption

FedEx spread AI in layers: predictive analytics, robotics and automated sortation in its operations for years, FedEx Dataworks and a data platform from 2020, generative AI tools for customers from Aug 2025, Atlas and more than 200 AI use cases by Feb 2026, and physical AI for trailer loading and unloading in 2026. FedEx measures workforce adoption by training: the AI Education and Literacy program began in Dec 2025 for all team members, FedEx had built a persona-based AI fluency program for about 300,000 employees and advanced training for all technology specialists by Feb 2026, and Vishal Talwar's biography describes the program as designed for more than 450,000 team members. FedEx tracks AI adoption, performance impact and risk controls on scorecards but has published no count of employees who use AI tools each week.

By the numbers

AI use cases on Atlas
200+
Vishal Talwar at the Feb 12, 2026 Investor Day
Employees the AI fluency program is built for
~300,000
Persona-based program, plus advanced training for all technology specialists (Feb 2026)
Predictive maintenance savings
$10M+ a year
Credited to proprietary AI models on sorting equipment (Investor Day, Feb 2026)
Core operational workflows with AI
Target: 50%+ by 2028
Investor Day, Feb 2026
Data generated each day
2+ PB
Raj Subramaniam, May 2026; all FedEx data to sit on Atlas by the end of 2027
Employees
450,000+
FedEx company description, Oct 2026, after the Jun 2026 FedEx Freight spin-off

Rollout, first pilot to today

  1. 2020

    FedEx began moving its package data onto a single platform, Raj Subramaniam said in Nov 2025.

    Baird conference transcript

  2. May 2020

    FedEx and Microsoft announced a multiyear collaboration on Azure and Dynamics 365, with FedEx Surround as the first product.

    FedEx Newsroom

  3. Aug 2021

    FedEx Ground installed Berkshire Grey robotic small-package sortation at its Queens, NY station.

    FedEx Newsroom

  4. Jan 2024

    FedEx announced fdx, a data-driven commerce platform for merchants, at the National Retail Federation's show.

    FedEx Newsroom

  5. Jul 2024

    Sriram Krishnasamy became Chief Digital and Information Officer, combining FedEx IT and FedEx Dataworks under one executive.

    FedEx Newsroom

  6. Feb 2025

    FedEx acquired RouteSmart Technologies, whose software underpins FedEx Route Optimization.

    FedEx Newsroom

  7. Aug 2025

    FedEx launched the generative AI Customs AI chatbot in six Asia-Pacific markets.

    FedEx Newsroom

  8. Aug 2025

    FedEx named Vishal Talwar Chief Digital and Information Officer and president of FedEx Dataworks.

    FedEx Newsroom

  9. Oct 2025

    FedEx Dataworks and ServiceNow announced an expanded collaboration on AI supply chain workflows.

    FedEx Newsroom

  10. Dec 2025

    FedEx launched an enterprise-wide AI Education and Literacy program with Accenture's LearnVantage platform.

    FedEx Newsroom

  11. Feb 2026

    FedEx told investors that Atlas supports more than 200 AI use cases and that it built an AI fluency program for about 300,000 employees; a pilot of Berkshire Grey's Scoop trailer unloader was underway.

    2026 Investor Day

  12. Mar 2026

    FedEx executives described plans for teams of AI agents across more than half of core operational workflows by 2028.

    PYMNTS, citing the Wall Street Journal

  13. Jul 2026

    FedEx expanded Dexterity's autonomous trailer loading to production scale at its Hagerstown, Maryland hub.

    FedEx Newsroom

  14. Oct 2026

    FedEx deployed Dexterity robotic loaders at Hagerstown to support Peak and post-Peak operations.

    Q3 CY26 earnings presentation

Economics & controls

Spend and ROI

Technology budget

FedEx does not disclose a technology or AI budget. FedEx expects capital spending of about $3.9 billion in calendar 2026, $0.4 billion more than in 2025, with the increase driven mainly by Network 2.0 and facility modernization, and targets capital spending of about 4% of revenue by 2029. FedEx said in Feb 2026 that it would reclassify about $200 million of data and technology costs from FedEx Dataworks into the U.S. Domestic segment.

What AI itself costs

FedEx has not published what it spends on AI models, compute or tools. The known costs include the Accenture LearnVantage training program (Dec 2025), FedEx Dataworks, which had about 200 employees in May 2026, and the purchase of RouteSmart Technologies in Feb 2025 for an undisclosed price.

Reported ROI

FedEx has published two AI returns: predictive maintenance saves $10 million or more a year (Feb 2026), and Vishal Talwar said in Sep 2026 that AI recovers tens of millions of dollars of annual revenue by catching non-standard packages that should have carried a surcharge. Talwar also cited tens of millions in savings from FedEx's digital execution in Feb 2026 without separating AI's part, and Raj Subramaniam said FedEx sees a strong return on its AI and data analytics investments without giving a figure. Raj Subramaniam said the 2029 targets include minimal FedEx Dataworks revenue, and CFO John Dietrich said they assume no material gains from robotic automation.

Productivity and savings

FedEx delivered $4 billion of structural savings across air, surface and overhead from fiscal 2023 through fiscal 2025 under DRIVE, expects about $1 billion of Network 2.0 and related One FedEx savings by the end of 2026 and $2 billion by the end of 2027, and targets an 8% operating margin and $98 billion of revenue in 2029. FedEx credits these savings to network redesign and process change and has not said what share comes from AI.

Headcount

Federal Express had about 452,000 employees at May 31, 2026, about 233,000 full-time and 219,000 part-time, and FedEx Office about 12,000; FedEx Freight left with its spin-off on Jun 1, 2026 and FedEx Supply Chain was sold to CMA CGM on Oct 1, 2026. FedEx has made no statement tying job reductions to AI; Scott Ray said in Feb 2026 that automation and physical AI will over time reduce the most repetitive, physically demanding tasks.

Governance and risk

AI policy and AI Council

FedEx has an AI policy covering the ethical, legal, cybersecurity and data privacy risks of AI and a cross-functional AI Council that supports the evaluation, governance and use of AI across the company, according to the Jul 2026 annual report. FedEx also evaluates the AI used by its vendors and service providers and folds AI security and governance risks into its cybersecurity and enterprise risk processes.

Board oversight

FedEx's Cyber and Technology Oversight Committee, chaired by Nancy Norton, oversees risks from emerging technologies including artificial intelligence and machine learning, reviews major technology projects and architecture decisions, and assesses whether FedEx's AI programs support its strategy; the committee met seven times in fiscal 2026 and advises the senior Data and Technology team.

Responsible AI framework and scorecards

Vishal Talwar said in Feb 2026 that FedEx's unified AI foundation combines trusted data and governed models with autonomous agents under a responsible AI framework, and that FedEx tracks AI adoption, performance impact and risk controls through scorecards and governance. FedEx joined the Hedera Council in Feb 2026 to help govern a distributed ledger for verified supply chain data.

Security reporting line

FedEx's chief information security officer, Gene Sun, reports to the Chief Digital and Information Officer and sponsors the Data and Technology Risk Council, which receives quarterly IT risk reports; the CDIO sits on the Executive Committee, where cybersecurity is a regular topic (Jul 2026 annual report).

Disclosed risks and regulation

FedEx's Jul 2026 annual report warns that AI may produce inaccurate or unintended outputs, add cybersecurity, privacy, intellectual property and compliance risk, and fail to improve efficiency as expected, and that AI-generated media lets bad actors pose as FedEx couriers and service agents. FedEx cites the EU AI Act and the Colorado AI Act among the rules that could add compliance costs and limit FedEx Dataworks' use of personal data.

Robots with human backup

FedEx's Berkshire Grey Scoop unloader is built on safety-first principles and supports human assistance for exceptions, and FedEx frames its trailer robotics around team member safety in the most physically demanding hub jobs (Feb 2026).

Recent signals

  1. Oct 28, 2026

    FedEx reported Q3 calendar 2026 results and said it is advancing physical AI by deploying Dexterity robotic loaders at its Hagerstown, Maryland hub for Peak and post-Peak operations.

    Q3 CY26 earnings presentation

  2. Sep 14, 2026

    Raj Subramaniam told the WSJ Leadership Institute Technology Council that AI must be CEO-led, and Vishal Talwar said AI recovers tens of millions of dollars of surcharge revenue a year and cut aircraft maintenance research from 30 minutes to three.

    STAT Times

  3. Sep 9, 2026

    FedEx introduced Global Trade Navigator, a suite of international shipping tools that includes FedEx Trade Planner, which FedEx's product page says uses AI-driven search or photo upload to suggest item descriptions and Harmonized System codes.

    FedEx Newsroom

  4. Jul 30, 2026

    FedEx and Dexterity expanded autonomous trailer loading beyond the pilot site to production scale at the Hagerstown hub.

    FedEx Newsroom

  5. Jul 20, 2026

    FedEx's annual report disclosed an AI policy, a cross-functional AI Council, an enterprise-wide AI Literacy Program for all team members and an AI-driven assistant added to the FedEx Developer Portal in May 2026.

    Form 10-K

  6. Jun 23, 2026

    Raj Subramaniam said FedEx has embedded AI into its DRIVE process and that its use of data earned a place on Fast Company's 2026 Most Innovative Companies list.

    Q4 FY26 earnings call transcript

  7. May 5, 2026

    FedEx and ServiceNow expanded their collaboration at ServiceNow's Knowledge 2026 conference, putting FedEx Dataworks intelligence into Source-to-Pay procurement workflows.

    FedEx Newsroom

  8. Apr 1, 2026

    Bala Vaidyanathan, who leads data and AI at FedEx, said AI plans and optimizes about 100,000 first- and last-mile routes a day and that FedEx is testing RFID sensors on select customers' packages.

    Supply Chain Dive

  9. Mar 30, 2026

    FedEx won a CIO 100 award for MOBIUS, its predictive maintenance platform, which monitors 18,000 assets and runs in 41 surface facilities.

    FedEx Newsroom

  10. Mar 19, 2026

    Raj Subramaniam said FedEx's Dexterity loading and Berkshire Grey unloading robots were in pilot and due for wider deployment later in 2026, and Brie Carere said machine learning tools now improve FedEx's dimensional pricing.

    Q3 FY26 earnings call transcript

  11. Mar 13, 2026

    PYMNTS reported, citing the Wall Street Journal, that FedEx plans teams of manager, worker and audit AI agents in more than half of its operational workflows by 2028, and that Vishal Talwar said every FedEx employee and task will be adapted to AI.

    PYMNTS

  12. Feb 12, 2026

    FedEx's Investor Day set out its AI strategy: more than 200 AI use cases on Atlas, $10 million or more a year saved by predictive maintenance, an AI fluency program for about 300,000 employees, and AI in more than half of core operational workflows by 2028.

    2026 Investor Day transcript

  13. Feb 3, 2026

    FedEx announced Berkshire Grey's Scoop, an autonomous physical AI trailer unloader, with a pilot underway and the first systems due in operation later in 2026.

    FedEx Newsroom

  14. Feb 2, 2026

    FedEx launched Tracking+ and Returns+, AI-powered post-purchase tools for merchants delivered with parcelLab.

    FedEx Newsroom

  15. Dec 2, 2025

    FedEx launched an enterprise-wide AI Education and Literacy program, with Accenture providing role-based training through its LearnVantage platform.

    FedEx Newsroom

Quick answers

How does FedEx deploy AI?
FedEx deploys AI through Atlas, an enterprise data platform it built that supported more than 200 AI use cases in Feb 2026, under Chief Digital and Information Officer Vishal Talwar, who also runs the FedEx Dataworks data business. FedEx builds its own models for forecasting, routing, delivery dates and predictive maintenance, is moving robotic trailer loading and unloading from pilots into hubs with Dexterity and Berkshire Grey, and targets AI in more than half of its core operational workflows by 2028.
What does FedEx use AI for?
FedEx said in Feb 2026 that Atlas supports more than 200 AI use cases, spanning network forecasting and planning, routing, customs clearance, predictive maintenance, pricing and surcharges, customer tracking and returns, and robotic trailer handling. FedEx has published business returns for two of them: predictive maintenance saves $10 million or more a year (Feb 2026), and AI that catches non-standard packages missing a surcharge recovers tens of millions of dollars of revenue a year (Sep 2026). At the firm level, FedEx reports $4 billion of DRIVE structural savings from fiscal 2023 through fiscal 2025 and targets $2 billion more from Network 2.0 by the end of 2027 without saying how much comes from AI.
Who leads AI at FedEx?
AI at FedEx is led by Vishal Talwar (EVP, Chief Digital and Information Officer; President, FedEx Dataworks); Kawal Preet (EVP, Chief Planning and Engineering Officer); Bala Vaidyanathan (Senior Vice President, Data and AI). Ownership of AI on the org chart: Vishal Talwar, EVP and Chief Digital and Information Officer, on the Executive Committee.
What AI platform does FedEx use?
Atlas, the enterprise data platform FedEx built, held a substantial portion of company data and supported more than 200 AI use cases in Feb 2026, and FedEx plans to move all of its data onto Atlas by the end of 2027.
Which AI models does FedEx use?
FedEx builds its own predictive models for forecasting, delivery dates and maintenance, uses generative AI in its Customs AI chatbot, and buys physical AI for trailers from Dexterity and Berkshire Grey; FedEx has not named a large language model provider.
How many FedEx employees use AI?
FedEx built a persona-based AI fluency program for about 300,000 employees, with advanced training for all technology specialists (Feb 2026); FedEx has published no count of weekly AI users.
How far has AI spread at FedEx?
FedEx sits at Scaling: its Atlas enterprise data platform supported more than 200 AI use cases in Feb 2026, Executive Committee member Vishal Talwar owns AI as Chief Digital and Information Officer and reports returns such as the $10 million or more a year saved by predictive maintenance, and an AI literacy program covers all team members. FedEx has disclosed no generative AI assistant open to most employees, the weakest part of its Scaling case, and falls short of Embedded because it publishes no figure on weekly AI use, AI in more than half of core operational workflows is a 2028 target, robotic trailer loading reached its first production hub only in Jul 2026, and the 2029 financial targets assume no material automation gains.

Open questions

  • Which cloud providers and data centers host Atlas and FedEx's AI models, and does Microsoft Azure still run FedEx Surround?
  • Which large language model providers power Customs AI, the Developer Portal assistant and FedEx's planned AI agents?
  • Does FedEx give most employees a generative AI assistant, and how many use AI tools each week?
  • How many of the more than 200 AI use cases on Atlas are in production, and how many are pilots?
  • What business return do FedEx's deployed AI tools without published figures deliver, such as route optimization, the clearance platform, Customs AI, dimensional pricing, Tracking+ and Surround?
  • How much of FedEx's $4 billion in DRIVE savings and its $2 billion Network 2.0 target comes from AI?
  • How many FedEx employees have completed AI training, given the figures of about 300,000 in the fluency program (Feb 2026) and more than 450,000 team members the program is designed for?
  • How large is FedEx's Data and Technology organization, and how many data scientists and AI engineers does FedEx employ?
  • How fast will FedEx take trailer robotics to thousands of dock doors in more than 20 U.S. hubs, and what will that do to hub staffing?
  • How much revenue will FedEx Dataworks earn from Dun & Bradstreet, ServiceNow and Stripe products, given that the 2029 targets include minimal Dataworks revenue?
  • Who chairs FedEx's AI Council, and to whom does it report?

Sources

FedEx

Data confidence

Confirmed
Stated in a primary or reputable public source.
Estimated
Derived or approximated from public reporting.
Unconfirmed
Reported, but not yet corroborated.

FedEx profile · Enterprise AI diffusion report by Imagine · facts checked against their sources on Nov 1, 2026