LABEL December 2013 | Page 5

LABEL Issue III The Amazon Octocopters Jeff Bezos floats the notion of delivering goods by drones: the future and the fairy tale Jeff Bezos is a true showman. The Amazon founder father loves a good revelation, and took the convenience afforded by a 60 Minutes segment to show off his company's latest creation: drones that can deliver packages up to 5 pounds to your house in less than half an hour. They're technically octocopters, as part of a project called "Amazon Prime Air.” A drone sits at the end of a conveyer belt, waiting to pick up a package from the warehouse and carries them up to 10 miles from the fulfilment centre within 30 minutes provided the package weighs below 5 pounds. And as per the available statistics; 86 percent of the deliveries that Amazon makes are below 5 pounds. So as soon as the company meets the required federal regulations, we can expect to see swanky drones humming over our roofs. There has never been an organisation quite like Amazon. Perceived as an online book seller, Amazon has redesigned itself time and again, changing the way the world buys, peruses and counts. Amazon has 225 million customers around the globe. Its goal is to sell everything to everyone. Bezos played a trial video on 60 Minutes that showed how the aircraft, also known as octocopters, will pick up packages in small yellow buckets at Amazon's warehouses and fly through the air to deliver items to customers after they hit the buy button online at Amazon.com. The idea is to deliver packages as quickly as possible using the small, unmanned aircraft, through a service the company is calling Prime Air, the CEO said. Drones have been infamously used by the U.S. military in the GWOT to shoot missiles at enemy combatants in countries such as Afghanistan and Pakistan. The cost of these unmanned aircraft has dropped expeditiously in recent years, making them more obtainable to commercial users, such as companies, small businesses and entrepreneurs. However, the Federal Aviation Administration (FAA) currently limits the use of drones in the U.S. to public entities such as police forces and hobbyists, meaning the devices cannot be used in return for payment. But this clashes with the Amazon’s objectives. Though the spending in the internet retail sector has grown by leaps and bounds in the last year, it still counts a factional portion of the total holiday spending. This kind of encouraging news is making the companies and their investors to work more efficiently towards the betterment of the services they provide. Online spending was seen growing at around 20% in the last three quarters. This financial year the one fifth of the total profit made by the S&P 500 companies were from technical firms. The opportunity is becoming so huge that the Amazon CEO, Jeff Bezos, plans to invest in an army of flying drones to deliver his packages. Needless to say that if this plan materializes, that will be the end of the road for many delivery companies. Unlike popular theories and hypothesis, these drones are autonomous and do not require a controller in front of a monitor in the warehouse to control them. The company needs to give the drones instructions of which GPS coordinates to go to, and they take off and then fly to those GPS coordinates. But still the program needs to be idiot-proof. In Jeff 4|Page