Drone Delivery Canada (DDC) has partnered with Air Canada, which will result in Air Canada Cargo using its marketing and sales platforms and resources to market and sell DDC’s drone delivery services in Canada.

Under the terms of the agreement, and subject to DDC obtaining required regulatory approvals, DDC will build and operate up to 150,000 drone delivery routes in Canada. These routes will include several components, such as timetables, flight schedules and types of UAS to be deployed.

DDC’s services will be marketed as a premium offering, and Air Canada Cargo has agreed not to use or engage with any other drone delivery service providers. Additionally, Air Canada Cargo has agreed to sell, market and promote DDC’s drone delivery services on the agreed routes, during which it will utilize its expertise in the cargo world, brand presence and sales network.

“Our drone delivery services will be extensively marketed as we work to establish operations across the country leveraging Air Canada Cargo’s brand presence and their established sales network and marketing reach,” says Tony Di Benedetto CEO of DDC.

“DDC will benefit from Air Canada’s Cargo’s expertise and ability to promote and sell DDC services through Air Canada Cargo’s industry leading marketing and sales technology channels in Canada, which will support our efforts to establish DDC as Canada’s first national drone cargo solution.”

The initial term of the agreement is ten years from the effective date of May 29, 2019. Together, DDC and Air Cargo Canada will decide the routes that apply to this agreement, and they will be subject to DDC obtaining required regulatory approvals.

Once routes are approved by the applicable regulatory authorities, the specific terms of the routes, including payment terms to UAS, will be determined “in the context of each applicable route and disclosed in subsequent press releases,” DDC says.