Zume – $375 million Gamble

Robots are still fascinating but quite common these days. Bringing robots to the food industry is monumental big task but various industries are working on it. Zume is one of those startups from the Silicon Valley which managed to create a hype but still lacked something.

The Vision:

Zume’s vision was to serve pizzas which were prepared by robots.

The Idea:

The idea behind Zume was that the customer would be provided an app as an interface for them to place an order. The customer would customize the pizza based on their preferences and place an order. The moment, an order is received, an instruction is given to the robot equipped truck. The truck will start moving toward the delivery location and meanwhile, the robot will dress and cook the pizza according to the customer. So that when the truck reaches the doorstep the customers receive hot and fresh pizza.

The company secured a patent on the cooking of food during delivery, which was integrated with algorithms to anticipate customer choices, and planned to partner with other business to other robot-prepared meal components, such as salads and desserts.


  • 2015 – Zume Pizza was founded by Chairman and CEO Alex Garden and Julia Collins.
  • 2016 – raised series A funding from Jerry Yang and SignalFire worth $6 million.
  • 2017 – raised series B funding worth $48 million
  • 2018 – raised  $375 million from Softbank, giving a valuation of  $2.25 billion.
  • 2019 – believed worth up to $4 billion.
pizza truck

In early January 2020, Zume announced that it was ending pizza production and refocusing the company as a provider of packaging and automated production and delivery systems to other food companies. 

Before Softbank invested in Zume, they failed the IPO for WeWork and Uber i.e they were unable to sustain it in stock market.

Zume failed even though investors saw potential and received huge investment. They also received huge orders from Silicon Valley. So what went wrong?

Was it the Softbank who made the wrong decision?


Its the CEO Alex Garden strategy that brought them down?

Comment and tell us your opinion, the best answer will be given a shoutout on our Instagram and LinkedIn account

Article by,

Haroshit Tandon, admin

Student, NIFTEM

Also, if you are interested in learning about Telematics In The Food Industry, do check our article.

Telematics In The Food Industry

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