Instacart Acquires Computer Vision Firm Arpalus to Deploy AI Across 600,000 Shoppers

Instacart Acquires Computer Vision Firm Arpalus to Enhance Inventory Data | PYMNTS.com

Arpalus' technology is purpose-built for grocery retail and will improve the inventory data needed for both eCommerce fulfillment and in-store operations, Instacart said in a Thursday (July 16) press release. When installed on a smartphone or other camera-equipped device, Arpalus' technology can turn a video scan of a store shelf into a real-time picture of inventory with greater than 95% accuracy, according to the release. With that capability, Instacart's network of shoppers can generate shelf intelligence using the app they already use for every order. The network includes 600,000 shoppers who visit large-format stores more than 15 times per day, on average, the release said. Instacart will also use the technology in its Caper Carts that are equipped with external cameras and move through store aisles, per the release. The company plans to use the shelf data generated by these tools for its Instacart Marketplace, Storefront Pro and Store View, the release said. "The Arpalus team has spent years building exceptional shelf intelligence technology, solving the problem of understanding what's actually on store shelves, at any given moment," Instacart Chief Connected Stores Officer David McIntosh said in the release. "With our leadership in Physical AI for grocery retail and by activating our network of shoppers, we can feed even more accurate shelf information back into our models, delivering better outcomes for customers, shoppers, and our retail and brand partners." Arpalus Founder and CEO Ofir Zilberberg said in the release: "Joining Instacart is a transformative milestone. By combining Arpalus' AI innovation with Instacart's scale and retail reach, we are accelerating the future of intelligent retail and redefining how stores operate." Instacart announced in April that it acquired Colombia-based grocery technology firm Instaleap to promote Instacart's global expansion and add to its technological capabilities. Instaleap's technology facilitates retailers' marketplace integrations and fulfillment services. In May 2025, Instacart announced its acquisition of Wynshop, a provider of eCommerce solutions for grocers and retailers, and said the deal would expand Instacart's relationships with retailers and support its tools and technologies.

Instacart acquires computer vision firm Arpalus By Investing.com

SAN FRANCISCO - Instacart (NASDAQ:CART) announced today the acquisition of Arpalus, a computer vision company specializing in shelf intelligence technology for grocery retail, according to a press release statement. The acquisition comes as Instacart, valued at $11.2 billion, continues expanding its technology capabilities while posting revenue growth of nearly 12% over the last twelve months. Arpalus has developed technology that converts video scans of store shelves into real-time inventory data. The company's computer vision models identify individual items on shelves with more than 95% accuracy on average, according to the statement. The technology operates on smartphones and camera-equipped devices. The acquisition allows Instacart's network of 600,000 shoppers to generate shelf intelligence using their existing app. Arpalus models can prompt shoppers to adjust camera angles or distance to capture shelf items. "The Arpalus team has spent years building exceptional shelf intelligence technology, solving the problem of understanding what's actually on store shelves, at any given moment," said David McIntosh, Chief Connected Stores Officer at Instacart. Ofir Zilberberg, Founder and CEO of Arpalus, said the company "was founded to solve one of retail's most fundamental challenges: bridging the gap between what happens in-store and the decisions driving business performance." The technology will extend to Caper Carts equipped with external cameras, updating in-store inventory insights in real-time as carts move through aisles. Caper Carts have scaled to more than 100 cities globally. Instacart operates across nearly 100,000 stores in North America and processes data from more than 10 million daily data points generated by its shopper network. The company partners with more than 2,200 retail banners. The shelf intelligence technology will enhance Store View, Instacart's real-time computer vision solution currently being piloted by retailers including McKeevers and Sprouts. InvestingPro data shows Instacart maintains impressive gross profit margins of 73%, with analysts expecting continued profitability growth this year. The platform currently rates the stock as undervalued, with subscribers gaining access to comprehensive financial health metrics and exclusive Pro Research Reports. Arpalus was founded in 2019 and holds patents in the United States and Europe for its retail intelligence technology. In other recent news, Instacart has announced a nationwide partnership with Tractor Supply Company to provide same-day delivery from over 2,400 Tractor Supply stores via the Instacart platform. This service allows customers to receive various products, including pet supplies and garden essentials, within an hour without any markup on prices. In the financial realm, Oppenheimer has raised its price target for Instacart to $60, citing a 15% increase in gross transaction value for the second quarter, which surpasses previous estimates. Citizens has also maintained its Market Outperform rating for Instacart, with a price target of $60, emphasizing the potential of AI-driven advertising. Additionally, trading activity in Maplebear Inc. options saw a significant surge, with call options dominating the activity. These developments highlight the ongoing interest and strategic moves surrounding Instacart in the market. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.