Otto Group is deploying up to 25 AI-controlled robotic systems at a logistics centre in Poland, partnering with German robotics specialist Sereact to automate the inspection and sorting of returned e-commerce products.
The two-phase project will initially introduce ten dual-arm robotic systems, followed by another 15 if early results demonstrate sufficient reliability and operational performance.
The deployment targets one of retail logistics’ toughest automation challenges: processing unpredictable returns containing products in different conditions, packaging configurations and orientations.
Unlike conventional warehouse robots programmed for specific products, Sereact’s Cortex Physical AI model can identify, grasp and assess unfamiliar items without predefined product catalogues.
The system uses NVIDIA Isaac Sim, Isaac Lab and Cosmos to generate simulated training environments, while NVIDIA Blackwell GPUs support model development and testing.
Sereact claims operational feedback can be converted into validated software updates within days rather than weeks, potentially accelerating improvements across deployed systems.
Under a Robotics-as-a-Service agreement, Sereact will operate and maintain the technology. Warehouse employees will transition from repetitive handling tasks towards supervision, exception management and final quality assessments.
Otto Group will evaluate whether the technology meets industrial requirements before considering deployment across its wider logistics network.
The initiative forms part of Otto Group’s broader €350 million investment commitment covering technology and AI.
For European logistics operators, the trial represents a significant test of whether Physical AI can move beyond controlled demonstrations into commercially viable warehouse operations.
Its success will depend on measurable improvements in throughput, accuracy and reliability.
