UPS applies to federal government for commercial drone delivery

According to The Verge, UPS, the U.S. postal delivery company, has applied to the federal government for a development permit to expand its commercial drone network. If approved, the company will be able to conduct drone test flights in densely populated areas at night.

UPS applied for a Part 135 certification approved by the Federal Aviation Administration (FAA). Since drones are classified as a type of aircraft under US federal law, any company that intends to use drones to deliver goods must go through the same security inspection procedures as airlines to obtain certification.

Currently, only a handful of drone companies have obtained Part 135 certification, and Alphabet's Wing is the first company to obtain FAA approval to conduct commercial activities. Other companies such as Uber's food delivery service Uber Eats and Amazon have not yet obtained the certification.

According to The Verge, UPS has created a subsidiary called UPS Flight Forward to oversee drone operations. UPS expects the subsidiary to obtain Part 135 certification as early as this year.

UPS’s drone delivery experience is limited to a previous drone medicine delivery program with startup Matternet and a 2016 partnership with Zipline and nonprofit Gavi to deliver blood samples to remote areas of Rwanda.

Many big names in the technology industry believe that the sky will be filled with drones in the future. Morgan Stanley estimates that by 2040, the urban drone industry will be worth $1.5 trillion, including vertical take-off and landing aircraft, flying taxis, military drones and delivery drones.

But drone delivery is still in its infancy. For companies that want to provide commercial aerial services, the threshold for passing aerial regulation is very high. In addition, it is not easy to get the public to accept drones. According to a 2017 Pew Research Center survey, 54% of American respondents did not approve of drones appearing near residential areas.