Serve Robotics Completes $240M Acquisition of Vayu Robotics to Enhance Autonomous Delivery

Serve Robotics has acquired Vayu Robotics to enhance its autonomous sidewalk delivery capabilities through advanced AI foundation model-based navigation technology. The acquisition includes an upfront issuance of approximately 1.7 million Serve shares, potential earnout shares tied to autonomy performance milestones, and warrants issued to Vayu's investor Khosla Ventures, whose founder Vinod Khosla will join Serve's Advisory Board. By integrating Vayu's expertise in AI and scalable simulation-powered training with Serve's real-world operational data, the combined entity aims to accelerate the development of next-generation delivery robots, improve navigation performance, and expand into new delivery environments and global markets. This strategic move strengthens Serve's leadership in the evolving 'physical AI' robotics space and is expected to reduce delivery costs while enhancing safety, reliability, and operational efficiency. The acquisition also enables Serve to leverage the NVIDIA Orin edge AI platform and photorealistic simulation to train more capable and generalizable models, positioning the company for growth in diverse customer categories and geographies. Overall, the deal marks a significant step toward transforming last-mile logistics through AI-powered autonomous delivery solutions.