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Zipline receives $150M from U.S. State Department to triple drone delivery network

The Elton John AIDS Foundation, one of the first financial backers of Zipline and an established partner of the company, made the announcement.
By Jessica Hagen , Executive Editor
Drones flying in the sky

Photo courtesy of Zipline

Zipline, an instant logistics and delivery company, has been awarded $150 million from the U.S. State Department to triple its drone delivery network in Africa, under a pay-for-performance model.   

The Elton John AIDS Foundation (EJAF), one of the earliest supporters of Zipline's entry into Africa and the organization that announced the award, disclosed an expanded partnership in 2024 to leverage Zipline's drone delivery technology to address supply chain challenges, including delivering antiretroviral therapy to Nigerians. 

Antiretroviral therapies are medicines that prevent individuals who are HIV positive from dying of the disease. It also prevents the virus from being passed to others. 

The partners also deliver condoms, test kits and medications, prioritizing deliveries to community-based organizations where youth often gather.

"Years ago, the Foundation made a bold investment in Zipline's game-changing technology because we knew they could deliver testing and treatment to communities that traditional supply chains simply couldn't reach," Anne Aslett, CEO of the Elton John AIDS Foundation, said in a statement. 

"Today, we're proud to see our support in their pilot has evolved into a self-sustaining system that will outlast any single grant. Our transformative partnership has created something much bigger than a program – it's built into a legacy that will continue to save thousands of lives. This is our path to an AIDS-free world: funding innovations that become permanent solutions."

THE LARGER TREND

Zipline has formed numerous partnerships in healthcare to deliver medication and healthcare supplies, including with Mayo Clinic and Memorial Hermann Health System last year. 

The company has also partnered with Intermountain Health, Michigan Medicine, MultiCare Health System, OhioHealth, WellSpan Health and the Cleveland Clinic

In 2023, Zipline raised $330 million in funding, bringing its valuation to around $4.2 billion.

That same year, Sir Elton John announced a partnership with Italian fashion designer Donatella Versace, entertainment mogul David Geffen and other philanthropists to launch The Rocket Fund, a three-year, $125 million initiative to accelerate EJAF's work to address HIV infection rates in vulnerable communities.