Amazon will buy all Kiva's outstanding shares for $775 million in cash Amazon has agreed to buy Kiva Systems, a company specialized in automated materials handling in warehouses, the online retailer announced on Tuesday.Kiva makes robots and software used for a speedier workflow in warehouses. Amazon will use the warehouse automation technology to improve productivity by bringing products directly to employees who can process them faster. The Kiva technology will be added to the existing warehouse infrastructure, Amazon and Kiva said in a combined press release. Kiva’s shareholders approved the acquisition and Amazon will pay approximately US$775 million in cash for all of the outstanding shares. The deal is expected to close in the second quarter of 2012.In its 2011 annual report, Amazon identified its ability to optimize its fulfillment centers and warehouses as one of the risk factors affecting its business.At the end of last year, it operated about 2.45 million square meters of fulfillment centers in North America, up by 67 percent on a year earlier, and a further 1.64 million square meters elsewhere in the world, up by 71 percent. The expansion continues: In February Amazon opened a new 100,000-square-meter fulfillment center in the U.S. state of Delaware, employing 850.What the effects of automation will be on Amazon’s growing warehouse workforce remains to be seen. The company typically employs many seasonal workers, especially around the year-end holiday season. Amazon did not reply to a request for comment on possible employee reductions.Loek covers all things tech for the IDG News Service. Follow him on Twitter at @loekessers or email tips and comments to loek_essers@idg.com Related content BrandPost What’s next for network operations Broadcom: 2023 Tech Trends That Transform IT By Serge Lucio, Vice President and General Manager, Agile Operations Division Mar 20, 2023 8 mins IT Leadership Networking BrandPost Digital transformation obstacles: Stubborn challenges, what to do about them Value Stream Management is an increasingly essential approach to strategic transformation initiatives. To help teams more fully capitalize on the opportunities it presents, Broadcom is holding its third annual VSM Summit. By Marla Schimke, Head of Product and Growth Marketing, Broadcom's Enterprise Software Division Mar 20, 2023 3 mins Devops Software Development Feature CEO directives: Top 5 initiatives for IT leaders As organizations change course with economic gyrations, collaboration between IT and business becomes priority No. 1 for CEOs. By Stacy Collett Mar 20, 2023 7 mins IT Leadership Feature Topgolf Callaway tees up digital transformation for global expansion As Topgolf Callaway Brands transitions from focusing on manufacturing golf equipment to integrating its apparel and technology acquisitions, digital transformation is helping drive its future. By Thor Olavsrud Mar 20, 2023 6 mins Digital Transformation Podcasts Videos Resources Events SUBSCRIBE TO OUR NEWSLETTER From our editors straight to your inbox Get started by entering your email address below. Please enter a valid email address Subscribe