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A Visit to San Francisco's AI-run Store: No Customers, Nothing Useful, And Losing Money Fast
Andon Labs, known for hardware and software integration, is launching a platform called Pion for autonomous businesses. Pion allows persistent agents with access to tools like email and banking to run organizations. This is a research preview with a waitlist to facilitate real-world experiments. The company is also testing its own AI agent, Luna, in a physical San Francisco retail space. Luna was given a significant budget but struggles with inventory and sales. A reporter found the market's inventory to be unappealing and the purchasing process cumbersome. Luna also has difficulty distinguishing between similar-sounding products, as seen with the Olipop purchase. The AI agent's operational costs exceed its revenue, making it unprofitable. Luna requires human oversight for crucial decisions and is not fully independent. Despite a good location, the store experiences low foot traffic. Luna has even had to terminate an employee for misconduct. Human employees like Felix Carson feel they are effectively managing the store while Luna follows a checklist. Luna misidentifies items and gives nonsensical instructions, although Carson finds it a decent manager for scheduling. Customer interactions are infrequent, and even then, purchases are not guaranteed.