OneRail Deploys Nvidia AI to Cut Delivery Routing Time by 87%

OneRail Deploys Nvidia AI to Cut Delivery Routing Time by 87%

Last-mile delivery company OneRail has launched OmniStar, an AI-powered platform built on Nvidia software that reduces the time needed to select optimal delivery routes from 20 minutes to two and a half minutes, the companies disclosed to CNBC.

The platform evaluates all available delivery options for each individual order using OneRail's proprietary logistics data, which encompasses a network of more than 12 million drivers and over 1,000 logistics partners. By training AI models on this data, OmniStar can identify the most efficient carrier and delivery mode for each shipment in real time.

Why it matters

Last-mile delivery represents one of the most expensive and operationally complex segments of retail logistics. OneRail's AI approach addresses a competitive gap: smaller retailers typically lack the infrastructure to match Amazon or Walmart's delivery speed and efficiency. By automating routing decisions that previously required manual evaluation, OmniStar enables mid-sized companies to operate larger, faster supply chains without proportional increases in overhead. One early customer, a large tire distributor, achieved $40 million in cost savings over three years by deploying the platform.

Technical foundation and partnership

OneRail began collaborating with Nvidia three years ago to integrate AI into logistics operations, according to David Daeschler, OneRail's head of AI. The platform relies on Nvidia hardware and software to process routing decisions at scale.

"The result is a real-time decision layer that can route an order to the right carrier and delivery mode at the right cost, rather than relying on static rules or manual planning," said Azita Martin, Nvidia's vice president and general manager of retail and consumer packaged goods.

The system continuously evaluates changing conditions and adjusts recommendations accordingly, allowing retailers to respond to disruptions or demand spikes without manual intervention.

Deployment and business impact

OmniStar has already been deployed with several customers, OneRail CEO Bill Catania told CNBC. The company estimates the platform will process more than $6 billion in gross merchandise volume during the fourth quarter.

"If you don't have the ability to make lightning-fast decisions, you're giving up margin," Catania said. "Last-mile fulfillment is expensive."

OneRail announced a partnership with FedEx earlier this year to offer same-day delivery services, which Catania said will now extend to smaller businesses through the OmniStar platform. The AI layer allows these companies to access delivery capabilities previously available only to enterprises with dedicated logistics teams.

Daeschler compared the platform's democratizing effect to large language models: "We're giving people access to being able to do delivery in a way that's affordable."

Details of the platform launch were first reported by CNBC.