Artificial intelligence and robotics are reshaping the hotel industry, with automation delivering cost savings of up to 40 per cent and boosting guest satisfaction, according to a report from NetworkNewsWire.
The AI‑driven hospitality market is projected to reach $1.46 billion by 2029, with an annual growth rate of 57.8 per cent. Meanwhile, the global hospitality robotics market is expected to grow from $24.38 billion in 2024 to $107.24 billion by 2034.
Nightfood Holdings Inc., a hospitality company combining hotel ownership with a Robotics‑as‑a‑Service model, is positioning itself at the forefront of this shift. The company has announced plans to acquire a 155‑room Holiday Inn in Victorville, Calif., which will serve as its model property featuring guest‑facing robots, including food runners and laundry assistants, through its Skytech Automated Solutions subsidiary.
Nightfood also reports plans to acquire a Hilton Garden Inn in Rancho Mirage, Calif., bringing its targeted hotel portfolio to roughly $80 million in assets. The company says both properties will integrate AI‑driven automation and act as testing grounds for robotics deployment and performance optimization.
The company’s strategy combines recurring revenue from automation subscriptions with the long‑term value of hotel real estate. By embedding robots directly into operations—handling tasks such as food delivery, cleaning and linen transport—Nightfood aims to reduce labour pressures and operational costs while enhancing guest experiences.
Broader industry adoption of AI and robotics is being fuelled by cost‑cutting goals, the need for operational efficiency and growing guest demand for personalized services. According to Market Research Futures, hospitality robots are increasingly used to provide tailored experiences, real‑time hotel information and in‑room controls that can boost guest satisfaction and loyalty.
Major brands across hospitality and foodservice are also integrating AI, including Starbucks, Domino’s Pizza, Airbnb and Richtech Robotics. These companies are leveraging AI for tasks such as virtual assistants for employees, personalized guest services and robotic delivery solutions.
NetworkNewsWire notes that this convergence of technology and service signals a shift toward a scalable, tech‑enabled model of hospitality. Companies embedding automation into hotel operations from the ground up are expected to be best positioned for long‑term growth.
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