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todservices 05-25-2026 03:41 AM

Pizza Hut AI Delivery Failure
 
Pizza Hut is being sued for $100 million by a major franchisee. The conflict started after Pizza Hut forced stores to use an AI delivery system called Dragontail.

The AI was supposed to improve delivery speed and efficiency. Instead, delivery times became much worse and many pizzas arrived cold. Before the AI, most orders arrived in under 30 minutes. After rollout, 50% took over 45 minutes.

Customers became frustrated and sales dropped sharply, especially in New York City. The franchise says sales growth went from +10% to nearly -10%. A big issue was that DoorDash drivers could see tips and order details before accepting deliveries. Many drivers delayed low-tip orders or waited to combine multiple deliveries.

The case is now seen as a major example of AI automation failing in real-world business operations.

https://finance.yahoo.com/sectors/te...191837668.html

NatalieK 05-25-2026 04:32 AM

i always wondered about the condition of fast food with AI delivery...

maybe with drones but with these things that go on paths, yes, shopping, not frozen lol...

but get your burger with a travel delivery time of half hour as it goes up and down paths 5mph, well, I canīt see it working and there we go...

people saying itīs cold, money back and now youīre out of business :2 cents:

INever 05-25-2026 05:18 AM

ai is a project by and for elites who are scared of their drivers, maids, delivery men, and US.


it don't work. it sucks. dragon tale my ass. :-)

TheLegacy 05-25-2026 06:27 AM

so looking at the check box summary for AI

AI good for porn AI bad for delivering pizza's

CurrentlySober 05-25-2026 10:08 AM

I cunt a4da pizza... :(

Huggles 05-25-2026 11:37 AM

Quote:

Originally Posted by todservices (Post 23448069)
The case is now seen as a major example of AI automation failing in real-world business operations.

https://finance.yahoo.com/sectors/te...191837668.html

How did they not have a limited-run trial to test for this before rolling it out to so many stores?

JayMoyes 05-25-2026 11:54 AM



Link - https://www.youtube.com/watch?v=Jbh8QteVM5g

My biggest issue with AI has been the hype and marketing, much like we saw with the internet turning into the world wide web in the late 90s.

In hindsight AI didn't fail Pizza Hut, the suits failed Pizza Hut and the franchise owners. And the gist of the video is the suits still haven't learned their lesson.

I've seen this time and time again. The manager comes in. They made decisions without any data from the workplace and without consulting the crew. There's no intel from the front lines. Management rips everything out, installs something new based on sales pitches, smoke and mirrors. Everything collapses.

CaptainHowdy 05-25-2026 03:56 PM

I like cold pizza . . .

Peace 05-26-2026 11:35 PM

This is the danger with automation: it works until the edge case becomes the customer experience. For business use I like AI for drafts and routing, but anything that touches payment, delivery, or angry customers still needs a human fallback.


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