Serve Robotics expands autonomous delivery to Atlanta with Uber Eats

ATLANTA - Serve Robotics Inc. (NASDAQ:SERV), currently valued at $566.53 million, has launched its autonomous sidewalk delivery service in the Atlanta metro area, the company announced Thursday. According to InvestingPro data, the company’s stock has shown remarkable performance with a 462% return over the past year, though it currently appears overvalued based on Fair Value analysis.

The expansion marks Serve’s fourth major market following previous launches in Los Angeles, Miami, and Dallas-Fort Worth as part of its ongoing partnership with Uber Eats, the delivery platform of Uber Technologies Inc. (NYSE:UBER). Despite posting negative EBITDA of $44.82 million in the last twelve months, Serve maintains strong liquidity with more cash than debt on its balance sheet.

Serve’s autonomous robots have begun operating in Atlanta’s Midtown, Old Fourth Ward, and Downtown areas, serving approximately 50,000 residents. The robots are integrated into the Uber Eats app, delivering orders from local restaurants including Rreal Tacos and Ponko Chicken. The company’s existing partnership with Shake Shack Inc. (NYSE:SHAK) will also extend to the Atlanta market.

"As one of the largest and fastest-growing markets in the Southeast, Atlanta is a strategic next step for our planned nationwide expansion," said Dr. Ali Kashani, CEO and co-founder of Serve Robotics, in a press release statement.

The company indicates its robots are designed to reduce traffic congestion while providing emission-free last-mile deliveries in the largely car-dependent city. Serve has established relationships with local stakeholders to facilitate the rollout.

Megan Jensen, Head of Autonomous Delivery Operations at Uber, noted this marks Uber’s first entry with autonomous delivery in Atlanta.

The Atlanta launch represents a step toward Serve’s stated goal of deploying 2,000 AI-powered delivery robots across the U.S. by the end of 2025. The company plans to announce additional U.S. markets in the coming months, according to the press release.

Serve Robotics, which spun off from Uber in 2021 as an independent company, develops AI-powered sidewalk delivery robots and is publicly traded on the Nasdaq exchange.

In other recent news, Serve Robotics reported a substantial revenue increase for the first quarter of 2025, with a 150% sequential growth reaching $440,000. Despite this growth, the company faced a larger-than-expected loss, reporting an earnings per share of -$0.16, which did not meet market expectations. The financial results have led to concerns among investors about the company’s ability to manage expenses and achieve profitability. Serve Robotics plans to deploy 2,000 robots by the end of 2025, supported by cash reserves of $198 million, to drive future growth initiatives. The company has also expanded its operations to major cities, including Los Angeles, Miami, and Dallas, and aims to launch in Atlanta by the end of the second quarter. Analysts have noted the company’s high operating expenses as a risk to profitability, with operating expenses reaching $13.5 million in Q1. The company’s outlook includes a projected annualized revenue run rate of $60-80 million by 2026, with plans to build 700 additional third-generation robots by the end of the third quarter. Despite challenges, Serve Robotics continues to focus on innovation and market expansion, as highlighted by CEO Ali Kashani.

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