The largest AI and IoT rollout in retail history begins at Walmart

Subscribe to our free newsletter today to keep up to date with the latest supply chain industry news.

When Walmart announced plans to deploy 90 million Bluetooth sensors across its supply chain, the move marked a pivotal moment in retail logistics. In partnership with Wiliot, a San Diego-based ambient Internet of Things company, Walmart is creating one of the world’s most connected and intelligent inventory networks. By the end of next year, the rollout will extend to 4,600 stores, including Supercenters, Neighborhood Markets, and more than 40 distribution centers.

The sensors, known as Pixels, are designed to transform how goods are tracked, stored, and delivered. The technology allows the company to locate every item in real time, generating an ongoing stream of data that feeds into Walmart’s artificial intelligence systems. For a business that manages millions of product movements each day, this level of insight could redefine efficiency.

A new era of visibility for Walmart’s global supply chain

Traditional supply chains often rely on periodic scans, human input, and manual reconciliation to track inventory. Walmart’s ambient IoT approach replaces those gaps with continuous, automatic visibility. Each Pixel functions like a miniature beacon, providing location, temperature, and motion data without needing batteries.

The system is already in place at 500 Walmart locations, and the expansion represents the first large-scale deployment of ambient IoT in retail. According to Walmart’s senior vice president of transformation and innovation, Greg Cathey, this capability solves one of retail’s most persistent challenges: understanding precisely what inventory exists and where it resides.

By knowing the exact location and condition of every product, from frozen goods to electronics, Walmart can maintain cold chain compliance and reduce losses linked to spoilage, misplacement, or overstocking. The effect is not limited to logistics. Improved accuracy frees store employees to focus on customer service rather than constant stock checks.

The scale and science behind ambient IoT

Ambient IoT differs from traditional tracking systems like RFID because it draws energy from environmental sources such as radio waves and light. Wiliot’s battery-free Bluetooth tags can last indefinitely, eliminating maintenance costs and sustainability concerns associated with battery disposal.

The market potential of ambient IoT is vast. Analysts forecast that the global ambient IoT industry will grow rapidly through 2034, with retail and logistics among its most active sectors. As supply chains become increasingly data-driven, low-power sensors capable of generating continuous data streams are becoming essential to real-time decision-making.

Walmart’s choice to integrate this technology reflects a broader trend across logistics networks where predictive analytics, automation, and environmental monitoring intersect. The company’s AI systems analyze incoming sensor data to identify inefficiencies, anticipate demand, and adjust replenishment cycles instantly.

AI integration and smarter retail decisions

Artificial intelligence becomes most valuable when it is supported by complete, accurate data. Walmart’s ambient IoT rollout provides exactly that foundation. By merging continuous environmental data with AI-driven analytics, the retailer can automate many aspects of supply management, from warehouse dispatching to store-level inventory forecasting.

Employees gain the ability to manage by exception rather than routine. If a temperature anomaly appears in a refrigerated shipment, the system can trigger an alert before goods spoil. Likewise, if stock levels fall below a threshold, replenishment can occur automatically. These incremental improvements compound into faster decision-making, lower waste, and stronger product availability across the network.

Walmart’s leadership in this space also places competitive pressure on the wider retail market. Other major players, such as Amazon and Target, are experimenting with automation and IoT, but none have yet deployed a battery-free sensor network at comparable scale. The implications extend beyond retail, influencing manufacturing, food distribution, and pharmaceutical logistics.

Challenges and opportunities of scaling IoT in retail

Despite the promise, scaling IoT in retail comes with challenges. Data interoperability, infrastructure costs, and privacy compliance remain complex. Integrating millions of data points into existing systems requires significant computing power and governance frameworks to ensure security and reliability.

However, the advantages are equally significant. Ambient IoT minimizes electronic waste, improves sustainability, and reduces dependence on manual labor for repetitive tasks. By digitizing product-level visibility, Walmart effectively turns its inventory into a self-reporting ecosystem—a model that may become standard practice across global supply chains.

Walmart’s partnership with Wiliot represents more than an upgrade in tracking technology; it signals a broader transition toward transparent, responsive, and sustainable retail operations. As the first major deployment of ambient IoT at scale, it demonstrates how physical goods can communicate directly with digital systems, closing the final gap between data and reality.

For customers, that means better-stocked shelves and fewer missing items. For Walmart, it means reduced waste, faster turnaround times, and greater agility in responding to demand fluctuations. For the retail industry at large, it sets a precedent for what connected logistics can achieve.

Sources:

Supermarket News