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[1]
Taco Bell is having second thoughts about relying on AI at the drive-through | TechCrunch
Taco Bell's chief digital officer says the company is having an "active conversation" about when to use and not to use AI. The company has apparently rolled out voice AI-powered ordering at more than 500 drive-throughs, leading to unflattering viral moments like someone ordering 18,000 water cups in order to "bypass" the AI and get connected to a human server. Chief Digital and Technology Officer Dane Matthews told The Wall Street Journal that even he has mixed experiences with technology: "Sometimes it lets me down, but sometimes it really surprises me." Overall, it sounds like Taco Bell is still deciding how broadly to deploy AI at the drive-through, with leeway for different franchisees to do things their own way. For example, rather than relying on AI exclusively, Matthews said it might make sense to have a human handle drive-through orders at busy restaurants with long lines. "For our teams, we'll help coach them: at your restaurant, at these times, we recommend you use voice AI or recommend that you actually really monitor voice AI and jump in as necessary," he said.
[2]
After 2 Million AI Orders, Taco Bell Admits Humans Still Belong in the Drive-Thru
Many wrong orders and 18,000 cups of water later, and Taco Bell is rethinking using AI to take orders. Fast food companies have been experimenting with integrating artificial intelligence into their restaurants, from Flippy the burger-flipping robot at White Castle to dynamic pricing at Wendy's. One arena where AI seems to really be struggling, though, is at the drive-thru -- and Taco Bell is the latest to experience AI mishaps at the order box. After taking 2 million orders with AI, Taco Bell has reached one conclusion: we still need humans. "We're learning a lot, I'm going to be honest with you," Dane Mathews, Taco Bell's chief digital and technology officer, told The Wall Street Journal in a story published Aug. 28. "I think like everybody, sometimes it lets me down, but sometimes it really surprises me." The revelation comes after Taco Bell's new AI drive-thru ordering system was the subject of memes online, primarily on TikTok, where people had a great time showing off flaws in the new technology. In one video, a customer caught the AI in a loop, continually asking what they wanted to drink until they became so frustrated that they drove away. In another video, a customer started ordering McDonald's food at Taco Bell, and the AI just let them do it, and even suggested McDonald's dipping sauces before the drive-thru worker cut in to complete the order properly. In a coup de grâce, one customer ordered 18,000 cups of water, and the AI was perfectly fine with it, causing the drive-thru worker to once again step in and save the day. CNET's editorial director of Personal Tech, David Katzmaier, witnessed these issues firsthand. "My daughter and I were recently at a Taco Bell with an AI drive-thru attendant," Katzmaier says. "It got a lot of the order wrong, and when she raised her voice to repeat herself and correct the mistake, the human drive-through person came on and told us he was listening all along. Makes me wonder why they used the AI at all." Some Taco Bell employees have also posted content, gently reminding folks that when they yell at the AI system, the employees can hear them. Mathews told The Wall Street Journal that the experience is causing Taco Bell to rethink its use of AI in the drive-thru. Notably, Taco Bell has admitted that humans in the drive-thru still make sense even in an increasingly AI-driven world. He says this is especially true during busy hours and long lines, where humans would be able to handle things better. "I can tell you it's a very active conversation inside Taco Bell in partnership with our franchisees," Mathews told the publication. "I think at the end of the day, it's really, really early. And we feel that. And I think other brands feel that, too." Those other brands include Wendy's and McDonald's, which both dipped their toes into the AI space over the last year. McDonald's, which had been working on its tech since at least 2019, eventually took down the AI ordering system after a similar failure, but said that AI would be back once it worked out the bugs. Wendy's, by contrast, is using a system built by Google and is still adding it to restaurants with a goal of 500 new installations by the end of the year.
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Taco Bell's AI drive-thru plan gets caught up on trolls and glitches
Taco Bell's plan to outfit hundreds of drive-thrus with an AI voice assistant isn't going exactly as the chain expected. Dane Mathews, Taco Bell's chief digital and technology officer, admitted to The Wall Street Journal that the company is re-evaluating where to deploy the tech as customers air their frustrations on social media, and others post videos of their attempts to troll the system, like ordering 18,000 water cups. "We're learning a lot, I'm going to be honest with you," Mathews told the WSJ. "I think like everybody, sometimes it lets me down, but sometimes it really surprises me." Since announcing plans to put AI in the drive-thru last year, Taco Bell has deployed the tech in over 500 locations across the US, according to the WSJ. Other fast-food chains are experimenting with AI, too, including McDonald's, Wendy's, and White Castle. Mathews tells the outlet that while the company still plans on pushing ahead with AI voice technology, he's discovered that using AI exclusively in the drive-thru at very busy restaurants might not be such a great idea after all.
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AI is returning to Taco Bell and McDonalds drive-thrus - will customers bite this time?
Fast-food chains are experimenting with AI in drive-thrus.Previous gen AI order-takers failed.AI voice tech is playing a larger role in customer service. Fast-food restaurants like Taco Bell and McDonald's tried to integrate AI into their daily operations, but rethought their decisions when customers complained. According to the Wall Street Journal, customers either griped about glitches and delays or the odd nature of the technology -- or, in some cases, chose to troll the AI employee by ordering 18,000 cups of water. Also: 3 smart ways business leaders can build successful AI strategies - before it's too late As a result, the two fast-food giants have reconsidered their AI strategies, looking for new ways to implement the technology without putting off customers. The goal is for restaurant technology to alleviate the pressure on human workers dealing with drive-thru, counter, and mobile orders. Last year, McDonald's ended its two-year experiment testing automated order-taking in partnership with IBM. According to Restaurant Business, the decision came after the technology added items to an order that customers didn't ask for, and offered bacon with an ice cream cone. According to the Journal, Taco Bell is learning from the same mistake McDonald's made, but both companies are adamant that AI has a place in the drive-thru. Taco Bell is considering forgoing AI when the restaurant is busy, as human employees could handle a rush better. Additionally, the chain says there are certain times when AI can handle customers and when employees should monitor the AI for mistakes and mishaps. Also: I asked Google Finance's AI chatbot what stocks to buy - and its answer surprised me Instead of the automated order-taking model, McDonald's tapped Google's Cloud services to power its AI voice technology in the drive-thru, using the natural language software trained on Google's gen AI models, according to the Journal. Wendy's is doing the same, indicating a wider trend of using AI voice technology to complete customer orders. Earlier this month, OpenAI updated its speech-to-speech model, gpt-realtime. The company made the speech model's API available to developers, stating that "voice is the next medium." Also: OpenAI gives its voice agent superpowers to developers - look for more apps soon The takeaway is that corporations like Taco Bell, McDonald's, and Wendy's are headstrong in believing that gen AI solutions belong in the drive-thru. The challenge is testing which models, methods, and partnerships will yield the best productivity, customer satisfaction, and profit. Smaller companies may not have the same budget as the aforementioned businesses to experiment with multiple AI solutions, but can still benefit from small-scale pilot programs. Ultimately, the fast-food industry is a great way to assess the dos and don'ts of AI in customer service, and as the technology matures, hopefully its applications will become easier to identify.
[5]
Someone ordered 18,000 cups of water at an AI drive-thru - now fast food chains are reconsidering
Fast-food chains are experimenting with AI in drive-thrus.Previous gen AI order-takers failed.AI voice tech is playing a larger role in customer service. Fast-food restaurants like Taco Bell and McDonald's tried to integrate AI into their daily operations, but rethought their decisions when customers complained. According to the Wall Street Journal, customers either griped about glitches and delays or the odd nature of the technology -- or, in some cases, chose to troll the AI employee by ordering 18,000 cups of water. Also: 3 smart ways business leaders can build successful AI strategies - before it's too late As a result, the two fast-food giants have reconsidered their AI strategies, looking for new ways to implement the technology without putting off customers. The goal is for restaurant technology to alleviate the pressure on human workers dealing with drive-thru, counter, and mobile orders. Last year, McDonald's ended its two-year experiment testing automated order-taking in partnership with IBM. According to Restaurant Business, the decision came after the technology added items to an order that customers didn't ask for, and offered bacon with an ice cream cone. According to the Journal, Taco Bell is learning from the same mistake McDonald's made, but both companies are adamant that AI has a place in the drive-thru. Taco Bell is considering forgoing AI when the restaurant is busy, as human employees could handle a rush better. Additionally, the chain says there are certain times when AI can handle customers and when employees should monitor the AI for mistakes and mishaps. Also: I asked Google Finance's AI chatbot what stocks to buy - and its answer surprised me Instead of the automated order-taking model, McDonald's tapped Google's Cloud services to power its AI voice technology in the drive-thru, using the natural language software trained on Google's gen AI models, according to the Journal. Wendy's is doing the same, indicating a wider trend of using AI voice technology to complete customer orders. Earlier this month, OpenAI updated its speech-to-speech model, gpt-realtime. The company made the speech model's API available to developers, stating that "voice is the next medium." Also: OpenAI gives its voice agent superpowers to developers - look for more apps soon The takeaway is that corporations like Taco Bell, McDonald's, and Wendy's are headstrong in believing that gen AI solutions belong in the drive-thru. The challenge is testing which models, methods, and partnerships will yield the best productivity, customer satisfaction, and profit. Smaller companies may not have the same budget as the aforementioned businesses to experiment with multiple AI solutions, but can still benefit from small-scale pilot programs. Ultimately, the fast-food industry is a great way to assess the dos and don'ts of AI in customer service, and as the technology matures, hopefully its applications will become easier to identify.
[6]
Taco Bell rethinks AI drive-through after man orders 18,000 waters
Since 2023, the fast-food chain has introduced the technology at over 500 locations in the US, with the aim of reducing mistakes and speeding up orders. Taco Bell's Chief Digital and Technology Officer Dane Mathews told The Wall Street Journal that deploying the voice AI has had its challenges. "Sometimes it lets me down, but sometimes it really surprises me," he said. He said the firm was "learning a lot" - but he would now think carefully about where to use AI going forwards, including not using it at drive-throughs. In particular, Mr Matthews said, there are times when humans are better placed to take orders, especially when the restaurants get busy. "We'll help coach teams on when to use voice AI and when it's better to monitor or step in," he said. The issues have been building online as disgruntled customers take to social media to complain about the service - with many pointing out glitches and issues. One clip on Instagram, which has been viewed over 21.5 million times, shows a man ordering "a large Mountain Dew" and the AI voice continually replying "and what will you drink with that?". It isn't the first time there has been issues with AI not getting it right when it comes to processing food and drink orders. Last year McDonald's withdrew AI from its own drive-throughs as the tech misinterpreted customer orders - resulting in one person getting bacon added to their ice cream in error, and another having hundreds of dollars worth of chicken nuggets mistakenly added to their order. But despite some of the viral glitches facing Taco Bell, it says two million orders have been successfully processed using the voice AI since its introduction.
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Taco Bell Says 'No Más' to AI Drive-Thru Experiment
Last year, Taco Bell made a simple bet that Alexa-like voice assistants could handle the drive-thru window. It didn't consider whether people could handle dealing with AI. According to the Wall Street Journal, the company embedded AI in the drive-thru boxes at more than 500 locations across the country and quickly found that it made mistakes, creeped people out, and got very easily manipulated. “We’re learning a lot, I’m going to be honest with you,†Taco Bell Chief Digital and Technology Officer Dane Mathews told WSJ. One of the lessons: People really like messing with AI, like ordering “18,000 cups of water, please.†If you browse Taco Bell Reddit (a surprisingly vibrant community), there are employees and Bell Heads alike lamenting the AI takeover. One employee posted that the AI assistant started telling people that the restaurant was out of everything but drinks and sauce packets. A person attempting to order a Chalupa Supreme with onions from the AI assistant ended up with three chalupas, and when they tried to replace meat with beans, the AI simply refused. So things are not going great, but that is not stopping Taco Bell from pushing forward with its AI embrace in one way or another. The fast food staple's parent company, Yum Brands, announced a partnership with Nvidia earlier this year with the goal of improving the technology that powers its AI operations, including the order takers. Taco Bell certainly isn't alone in this effort, either. McDonald's started infusing its operations with AI earlier this year, too, with the goal of improving order accuracy. Wendy's partnered with Google to bring an AI chatbot to its drive-thru windows, and specifically started training the model on Wendy's-specific lingo so it knows that JBC†is short for “junior bacon cheeseburger.†White Castle is getting in on the action, too, bringing AI to more than 100 of its drive-thrus with the help of speech recognition company SoundHound. A quick scan suggests these efforts are going about as well as the Taco Bell experiment. McDonald's reportedly ditched some of its AI interactions with customers after it kept messing up orders. People have also taken to social media to complain about having to deal with the Wendy's AI chatbot, finding it to be inaccurate and creepy. All of this seems to be leading to an inevitable conclusion that is entirely counterintuitive to the pitch of AI. Mathews, Taco Bell's tech guy, told the Wall Street Journal that when a restaurant is super busy and has long lines, it is better for humans to handle it. Turns out, maybe replacing people with AI shouldn't be on the menu.
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Taco Bell's Attempt to Replace Drive-Thru Employees Is Not Going Well
That distant ringing? It's the sound of the Taco Bell death knell, tolling for the restaurant chain's shambolic AI-powered drive-thrus. We exaggerate, but only a little. The much-maligned tech experiment, which has been deployed at 500 Taco Bell locations across the United States, isn't quite dead yet. But it's received enough backlash since being unleashed on hangry motorists that even one of the company's top executives is having second thoughts. "We're learning a lot, I'm going to be honest with you," Taco Bell chief digital and technology officer Dane Mathews conceded to the Wall Street Journal, in what sounded like an awfully weary tone. "I think like everybody, sometimes it lets me down," he admitted, "but sometimes it really surprises me." The response on social media suggests that most customers probably don't want their drive-thru to "surprise" them. At best, there's short-lived amusement in messing with the AI with outrageous requests, like "18,000 cups of water." At worst, customers just get annoyed or weirded out. Yelling into an awful microphone while responding to a voice blaring through a busted speaker is a reality many of us slobs looking for a quick bite on a late night have grown familiar with -- but it wasn't necessarily an experience that needed innovation from Silicon Valley's latest shiny toy. Mathews conceded that it may not make sense to use AI at every drive-thru, per the WSJ. He further determined that super-busy restaurants with long lines might be better off with a human handling things. That's undoubtedly true, but it raises the question: what's the point of using it, then? We're told that AI isn't here to take our jobs but to alleviate our burdens; evidently it can't even do that. The AI's brain melts like a three cheese blend when asked to perform a supposedly low-skilled job done perfectly well by bored teenagers. Other chains have deployed with AI-powered drive-thrus with similar struggles. McDonald's abandoned its first experiment after the AI provided by its business partner IBM kept screwing up orders. It's giving AI drive-thrus a second go, however, in a new collaboration with Google. Wendy's announced this year that it'd be expanding its AI-powered drive-thrus to 500 more locations, even though it previously admitted its system required human intervention a Baconatedâ„¢ 14 percent of the time. It's not a Crunchwrapâ„¢ for Taco Bell's AI efforts, either, and the tech apparently remains a critical part of its future, according to the WSJ. "I can tell you it's a very active conversation inside Taco Bell in partnership with our franchisees," Mathews told the WSJ. "I think at the end of the day, it's really, really early. And we feel that. And I think other brands feel that, too." Seemingly, the big restaurant chains are all locked into a game of chicken, seeing who'll blink first with their ludicrous AI schemes.
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Hilarious glitches make Taco Bell nervous about AI taking orders
Yum Brands, the food giant that owns labels such as KFC, Pizza Hut, and Taco Bell, inked a deal with Nvidia earlier this year to embrace an AI order-taking system. The target was to deploy the AI tech everywhere, from the kitchen to drive-through windows at more than 500 outlets. "AI at the drive-thru window increases accuracy and speed of order-taking, and helps make team members' jobs easier," Joe Park, chief digital and technology officer at Yum! Brands, explained in a podcast. It seems those plans are susceptible to some hilarious glitches. Recommended Videos Apparently, it's pretty easy to crash the system by something as simple as ordering thousands of water cups. In one clip that has gone viral on social media, Taco Bell's AI at a drive-through can be seen going haywire after a customer ordered 18,000 water cups. Drinks are the weak link for Taco Bell's AI In another clip, the AI is heard asking for a drink to go with an order for a large Mountain Dew. The AI order-taking agent even appears to malfunction when a customer asks, "Is the water free?" at which point a human customer support executive can be heard taking over. This won't be the first time that Taco Bell has tried to integrate technology in its customer-facing operations. In 2016, the food giant launched an AI-powered customer service system named TacoBot in partnership with workplace communication platform Slack. It seems the top hierarchy is aware of the AI failures and is now carefully considering the deployment of such tools. "I think like everybody, sometimes it lets me down, but sometimes it really surprises me," Taco Bell Chief Digital and Technology Officer Dane Mathews was quoted as saying by The Wall Street Journal. Mathews further added that the company was learning "a lot" from the experiment and that "it might not make sense to exclusively use artificial intelligence at every drive-through." He pointed out that when there's a customer rush with long waiting lines, a human employee might be best suited for the job. It's still uncharted territory Taco Bell is not nixing its AI order manager at drive-throughs, but it will provide training to employees on monitoring the voice AI agent, and they should be ready to take over when necessary. But it seems the franchise is feeling the weight of risks and rewards of the tech stack. "I think at the end of the day, it's really, really early. And we feel that," the Taco Bell executive added. Such product experiments haven't always ended well, if history is any indication. McDonald's pulled the plug on one such initiative that it developed in partnership with IBM last year. But it seems food and restaurant businesses are bullish about AI making their work easier and reaping them financial rewards. Wendy's has inked a similar AI deal with Palantir to ensure that its $1 Frosty promotions don't lead to logistics chaos. McDonald's also signed a deal with Google back in 2023 to integrate generative AI solutions in its business. Taco Bell's drive-through flub once again proves that AI agents are not yet ready to replace humans in all roles, despite all the hype. Even the most polished products out there such as ChatGPT and Google's AI Overviews can prove to extremely harmful and get something as basic as the date wrong.
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Taco Bell Discovered that No One Wants to Use AI to Order Chalupas
I recently heard someone say that AI is probably way more transformative than most skeptics give it credit for, while at the same time being way more overhyped than most of its fans are willing to acknowledge. In reality, it will probably end up somewhere in between a hyped-up gimmick and a total transformation of every aspect of society. The perfect example of this is what happened when Taco Bell tried replacing humans with AI as order takers for its drive-through. It turns out, ordering tacos at 1 a.m. is more complicated than you might think, at least, for a computer. Taco Bell has been testing voice-powered AI in more than 500 drive-throughs since last year. On paper, it makes sense. It cuts back on labor costs since you need fewer people taking orders at a time when most people would rather not be at work. There's also an argument to be made that -- in many cases -- a computer might be more accurate than a 20-year-old that would rather be doing something else in the middle of the night. Of course, things that make sense on paper don't always work the way you expect when real people show up. That's basically what happened at Taco Bell. For one, customers weren't impressed. For another, the AI bots struggle with things like noise, accents, or simple changes to an order. A lot of customers just found it weird. And -- as you might expect -- plenty of customers treated it like a toy, asking for things like "18,000 cups of water." Instead of smoother drive-throughs, Taco Bell ended up with long waits, wrong orders, and a social-media headache. Even Dane Mathews, the company's chief digital and technology officer, admitted his own mixed experiences: "Sometimes it lets me down, but sometimes it really surprises me." That isn't the kind of review you want when your brand is built on serving Fourth Meal fast. Now, Taco Bell is rethinking the whole experiment. That's according to The Wall Street Journal, which reports that Taco Bell is starting to realize that AI isn't ready to run the show everywhere. At busy locations, a human is still faster and better. At quieter times, the technology might be useful. But it needs an "offramp" so employees can jump in before things spiral. That's the point: AI isn't a magic trick. Nearly three years into the AI boom, companies are still figuring out where it actually helps and where it just gets in the way. Other fast-food giants have learned the same thing. McDonald's scrapped an AI partnership with IBM after too many mistakes. It's now working with Google Cloud on a new attempt. Wendy's is expanding its own assistant, FreshAi, also powered by Google. Taco Bell's parent company, Yum Brands, even teamed up with Nvidia to push further into automation. But every chain runs into the same reality: drive-throughs are messy. People mumble or change their minds halfway through an order. AI may be great at writing code or summarizing contracts, but it still struggles to tell the difference between "two tacos" and "twelve tacos" through a crackling speaker. That's the real risk. Drive-throughs are the lifeblood of Taco Bell. A delay or a wrong order doesn't just hurt efficiency -- it hurts the brand. Voice AI was supposed to speed things up. Instead, it sometimes created exactly the problem it was meant to solve. And that's where this matters for every company experimenting with AI. Just because you can bolt on new technology doesn't mean you should. Your brand isn't about the tools you use. It's about how people feel when they interact with you. For Taco Bell, the fix is clear: use AI when it works, but don't let it ruin the experience. A Crunchwrap Supreme delivered quickly by a human is better than a delayed order from a bot. Customers don't care if it's cutting-edge -- they just want their tacos. That's the bigger lesson. The smartest companies aren't the ones that jam AI into every corner of the business. They're the ones who know where it adds value and where it doesn't. Like this column? Sign up to subscribe to email alerts and you'll never miss a post. The opinions expressed here by Inc.com columnists are their own, not those of Inc.com. The final deadline for the 2025 Inc. Best in Business Awards is Friday, September 12, at 11:59 p.m. PT. Apply now.
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Taco Bell reconsiders AI drive-thrus after man orders 18,000 waters
Fast-food chain Taco Bell is reconsidering the implementation of AI drive-thrus across hundreds of locations following customer complaints, delays, and the exploitation of the new tech. Speaking to The Wall Street Journal, Taco Bell's chief digital and technology officer Dane Matthews said that he has been disappointed and pleased with the AI implementation. "We're learning a lot, I'm going to be honest with you. I think like everybody, sometimes it lets me down, but sometimes it really surprises me." Matthews is now rethinking the technology's use in its current state, and is wondering whether it has a strong future at Taco Bell. Apart from one man going viral for ordering 18,000 waters, other customers have complained about the AI drive-thrus not being as understanding or effective as a human member of staff.
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Taco Bell Rethinks Drive-Thru Voice AI After Prank Order Requests 18,000 Water Cups - Wendy's (NASDAQ:WEN), McDonald's (NYSE:MCD)
Taco Bell is rethinking how it uses artificial intelligence at drive-throughs after a spate of viral ordering flubs, even as the company says the technology has successfully handled millions of orders. Viral Ordering Flubs Trigger Rethink Of Voice AI Orders The chain rolled out a voice AI system to more than 500 U.S. drive-throughs beginning in 2023 to cut errors and speed service. But customer videos showing the bot looping prompts or accepting prank orders, like a request for 18,000 water cups, have triggered a reassessment, executives said. "I think like everybody, sometimes it lets me down, but sometimes it really surprises me," Taco Bell Chief Digital and Technology Officer Dane Mathews told The Wall Street Journal in an interview last week. "We're learning a lot, I'm going to be honest with you," and "We'll help coach teams on when to use voice AI and when it's better to monitor or step in," he added. Taco Bell's Hybrid Human-In-The-Loop Approach Mathews said Taco Bell will tailor usage by restaurant, keeping humans squarely "in the loop," especially at peak times, while it studies "more than two million" AI-handled orders to refine where the tool helps and where it hinders. See Also: Nvidia Is 'Going To $5 Trillion' Says Dan Ives, But This Expert Says If 'AI Turns Out To Be Just A Bubble,' NVDA May Collapse That mirrors a broader industry course correction. McDonald's Corp. MCD ended a high-profile voice-ordering pilot with IBM last year before shifting to a new Google Cloud effort and Wendy's Co. WEN plans to expand its Google-built "FreshAI" to hundreds more locations after tests in company stores. Yum! Brands Is Doubling Down On AI As Consumers Demand Accuracy Taco Bell's parent, Yum! Brands Inc. YUM has signaled it will keep investing in automation and data tools, announcing an AI collaboration with Nvidia earlier this year, even as front-line deployments get fine-tuned. Competitors see upside if the kinks get worked out. Wendy's says its bot can autonomously take most orders and shave drive-through times, an efficiency pitch that resonates with franchisees juggling labor costs and busy lanes. But the recent backlash shows consumers expect these systems to match, or beat human accuracy, not add friction. Price Action: YUM shares traded higher by 1.03% to $146.97 on Friday at market close. Benzinga Edge Stock Rankings indicate Yum! Brands' stock offers poor value, with an unfavorable price trend in the short term. Check here to see how YUM positions itself against its peers. Read Next: Trump Administration Scraps $679 Million In Offshore Wind Funding, Targeting Key North California Project Photo courtesy: Shutterstock MCDMcDonald's Corp$313.870.53%Stock Score Locked: Edge Members Only Benzinga Rankings give you vital metrics on any stock - anytime. Unlock RankingsEdge RankingsMomentum48.63Growth68.51QualityN/AValue18.25Price TrendShortMediumLongOverviewWENThe Wendy's Co$10.631.24%YUMYum Brands Inc$146.971.03%Market News and Data brought to you by Benzinga APIs
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Taco Bell Reconsiders Voice AI After Seeing Mixed Results | PYMNTS.com
By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions. After adding the technology to take orders at more than 500 locations, the company found that some customers have complained about glitches in it, felt uncomfortable with it, or played practical jokes on it, like ordering 18,000 cups of water, the Wall Street Journal reported Thursday (Aug. 28). Taco Bell Chief Digital and Technology Officer Dane Mathews told the WSJ, per the report, that the company is learning a lot from this deployment, has had good and bad experiences with it, and is now considering which tasks voice AI can handle and which ones require human staff. "I can tell you it's a very active conversation inside Taco Bell in partnership with our franchisees," Mathews said in the report. "I think at the end of the day, it's really, really early. And we feel that. And I think other brands feel that, too." According to the report, McDonald's ended a voice AI experiment with IBM and is now working on one with Google Cloud; Wendy's is expanding its use of an AI assistant built with Google technology; and Taco Bell parent company Yum! Brands has been working on voice AI for years and announced a partnership with Nvidia in March. PYMNTS reported in June 2024 that McDonald's ended its partnership with IBM to develop an AI-powered drive-through system after two years of testing and was removing the technology from more than 100 restaurants. A McDonald's spokesperson told PYMNTS at the time: "Through our partnership with IBM, we have captured many learnings and feel there is an opportunity to explore voice ordering solutions more broadly. After thoughtful review, McDonald's has decided to end our current global partnership with IBM on AOT beyond this year. IBM remains a trusted partner and we will still utilize many of their products across our global System." When Taco Bell began its deployment of AI for order-taking, PYMNTS reported that the company was joining a growing cadre of quick service restaurants, traditional restaurants and delivery services that were testing the technology to streamline the ordering process.
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Taco Bell is reevaluating its AI-powered drive-thru system after encountering challenges and customer trolling, prompting a broader discussion on the role of AI in fast-food operations.
Taco Bell, along with other fast-food giants, is reconsidering its approach to AI-powered drive-thru systems after encountering a mix of successes and setbacks. The company has deployed AI voice technology at over 500 locations across the United States, but the results have been mixed, leading to a reevaluation of its implementation strategy
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.Source: TechCrunch
Dane Matthews, Taco Bell's Chief Digital and Technology Officer, admitted that the AI system has had its ups and downs. "Sometimes it lets me down, but sometimes it really surprises me," he told The Wall Street Journal
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. The AI's performance has led to some unflattering viral moments on social media platforms like TikTok, where customers have shared their experiences with the system2
.One notable incident involved a customer ordering 18,000 cups of water, which the AI system accepted without question, requiring human intervention to correct the order
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. Other viral videos showed the AI getting stuck in loops or accepting orders for items from competing restaurants like McDonald's2
.In light of these challenges, Taco Bell is actively discussing when and how to use AI in its drive-thru operations. Matthews suggested that it might be more effective to have human employees handle orders during busy periods or at restaurants with long lines
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. The company is also considering a hybrid approach, where AI handles some orders while employees monitor the system and intervene when necessary1
.Source: Futurism
Taco Bell is not alone in its AI experimentation. Other fast-food chains, including McDonald's and Wendy's, have also been testing AI-powered ordering systems
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. McDonald's recently ended a two-year partnership with IBM for automated order-taking due to issues such as adding unwanted items to orders4
. However, both McDonald's and Wendy's are now exploring AI voice technology powered by Google Cloud services4
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.Related Stories
Despite the challenges, fast-food companies remain committed to integrating AI into their operations. The goal is to alleviate pressure on human workers dealing with drive-thru, counter, and mobile orders
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. As the technology matures, these companies are seeking the right balance between AI assistance and human interaction to improve productivity, customer satisfaction, and profitability.Source: ZDNet
The experiences of major fast-food chains offer valuable insights for other businesses considering AI implementation in customer service roles. While larger companies have the resources to experiment with multiple AI solutions, smaller businesses can benefit from small-scale pilot programs
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. As AI technology continues to evolve, its applications in customer service are likely to become more refined and easier to implement across various industries.Summarized by
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