Faced with persistent labor shortages and rising operational costs, hospitality companies are accelerating their use of AI-powered service robots to streamline operations and enhance customer service.
Nightfood Holdings Inc., a hospitality firm with more than 130 hotels under its umbrella, is among a growing list of companies investing heavily in robotics and automation to address workforce gaps and modernize service delivery.
The hospitality robotics market is projected to grow to $65.4 billion by 2032, with adoption driven by demand for operational efficiency and improved guest experiences.
Labor pressures drive demand for automation
A report by the American Hotel & Lodging Association found that 76% of U.S. hotels are still struggling to fill staff roles in 2025, despite raising wages and introducing flexible work policies. In response, businesses are increasingly deploying robotic solutions to automate tasks such as cleaning, food delivery, and guest assistance.
Nightfood Holdings has positioned itself at the intersection of hospitality and automation through a series of strategic acquisitions and partnerships, including the purchase of Skytech Automated Solutions Inc., a company specializing in AI service technology for hotels. One of Skytech’s signature products—the Laundry Helper robot—is already being implemented in hotel properties.
“Closing the Skytech acquisition represents a transformative leap forward for Nightfood,” said Jamie Steigerwald, chair of Nightfood Holdings. “This strengthens our ability to scale automation across the hospitality industry, addressing key operational pain points such as labour shortages and rising costs.”
Strategic acquisitions support scalable growth
Nightfood’s expansion strategy also includes its acquisition of CarryOutSupplies.com, a supplier of takeout packaging for the food service sector. The deal, completed through an all-stock transaction, is expected to increase operational efficiency and expand the company’s client base and product offerings.
“This deal not only strengthens our position in the foodservice industry but also can drive immense value through operational efficiencies,” said Nightfood CEO Sonny Wang.
According to the company, these acquisitions are part of a broader plan to position Nightfood as a leader in hospitality automation. A recent shareholder update emphasized the firm’s intent to continue evaluating additional strategic opportunities in AI and robotics.
Partnerships expand robotics footprint
In addition to acquisitions, Nightfood is pursuing high-profile partnerships to further its reach. Its subsidiary, Future Hospitality Ventures Holdings Inc. (FHV), recently entered an exclusive agreement with Bear Robotics Inc., a global provider of AI automation solutions.
Announced in late 2024, the partnership will pilot AI-powered service robots across hospitality venues in the Greater Los Angeles area, with plans for a broader national rollout.
“Our partnership with Bear Robotics will redefine operational efficiency and service delivery,” said Wang. “We look forward to implementing these AI-powered solutions in a dynamic and evolving market.”
Broader tech sector follows suit
Several major technology and robotics firms are also advancing the use of automation across various sectors, including hospitality:
- Amazon.com Inc. has deployed over 750,000 robots across its fulfillment network, including a new robotics-equipped centre in Louisiana designed to assist employees with packaging and delivery tasks.
- Intuitive Surgical Inc. published studies on Force Feedback technology in its da Vinci 5 surgical system, enhancing tactile precision during robotic-assisted surgeries.
- Richtech Robotics Inc. has launched its Scorpion robot in partnership with Ghost Kitchens America to automate drink service at a Walmart Supercenter in Georgia.
- Serve Robotics Inc., in partnership with Uber Eats, has deployed autonomous sidewalk delivery robots in Dallas-Fort Worth, aiming to expand to 2,000 robots by the end of 2025.
As automation continues to transform customer service and backend operations, companies blending AI innovation with domain-specific expertise are emerging as frontrunners. Nightfood and its peers are betting that robotics will be key to building a more agile and cost-effective hospitality sector.