Air Canada (AC, Montréal Trudeau) and Drone Delivery Canada (DDC) have forged an agreement in which Air Canada Cargo will market and sell DDC's drone delivery services in Canada using the marketing and sales platforms and resources of the flag carrier's cargo unit.

According to a news release dated June 4, effective May 29, DDC said it would build and operate up to 150,000 drone delivery routes in Canada. The routes will include timetables, flight schedules, payload capacities, types of drones to be deployed, and payment terms.

Air Canada Cargo has agreed to sell, market and promote DDC's drone delivery services on the agreed routes, leveraging its expertise in the cargo world, brand presence and sales network.

Based in Vaughan, Ontario, DDC is a technology company focused on the design, development, and implementation of its logistics software platform using drones. It intends its platform to be used by government and corporate organizations as Software as a Service (SaaS) wherein a third-party provider hosts applications and makes them available to customers over the Internet.

The platform is based on the X1000 Sparrow multi-rotor drone, capable of carrying a 5kg payload with a range of 30 kilometres. The company is working on developing a range of cargo drones and in February it unveiled its biggest so far, called Condor, which has a "next generation gas propulsion engine" capable of delivering an 18kg payload up to 200 kilometres.

"We believe drone technology has the potential to offer the cargo community cost-effective solutions to complex issues related to supply chain distribution in non-traditional markets, including remote communities in Canada," said Tim Strauss, vice president for cargo at Air Canada.