AI Chatbots: McDonald's and Wendy's Confront Distrust

The Beginnings of AI Chatbots in Drive-Thrus

In 2021, McDonald's took a bold initiative by introducing AI chatbots in its drive-thrus, marking a first in the fast-food industry. This pilot project was launched in ten locations in Chicago. This technological advancement relied on voice ordering technology developed by Apprente, a startup specializing in voice-based conversational technology that McDonald's had acquired in 2019. Subsequently, McDonald's collaborated with IBM to scale this innovation further.

McDonald's initiative was just the beginning of a broader trend in the industry. In 2022, Checkers and Rally’s followed suit by partnering with AI company Presto to equip all their company-owned drive-thrus in the United States with chatbots. The goal was to increase food and beverage sales while improving order accuracy. Presto also claimed that this technology would free up staff for tasks requiring human interaction, thereby optimizing operational efficiency.

The Expansion of AI in Fast-Food Chains

Other major chains quickly adopted this technology. In 2023, Wendy’s introduced its own chatbot, named "FreshAI," in one of its drive-thrus in Columbus, Ohio. To develop this AI chatbot, Wendy’s collaborated with Google to train the system on the franchise's specific jargon. Thus, the chatbot understands that "milkshake" means "Frosty" and that "JBC" refers to a "junior bacon cheeseburger." Wendy’s began to expand the use of this technology a few months after its initial launch, claiming that the system achieved correct orders without human intervention 86% of the time.

Taco Bell, another major chain, also tested its own AI voice ordering system in its drive-thrus around the same time. The company later announced its intention to expand this technology to hundreds of its locations in the United States by the end of 2024. Like other fast-food chains, Taco Bell presented this initiative as a way to reduce employee workload and decrease wait times at the drive-thru. Other chains, such as Panera Bread, White Castle, Carl’s Jr., Hardee’s, Panda Express, and Popeyes, also began experimenting with this technology.

Consumer Reactions and Challenges Faced

Despite the rapid expansion of AI in drive-thrus, consumer reactions have been mixed. A survey conducted in January 2025 by YouGov revealed that 55% of Americans preferred a human to take their order at the drive-thru, compared to only 4% who preferred using an AI chatbot. This lukewarm response could have repercussions for some franchises. For instance, McDonald's ended its partnership with IBM in 2024, a year before Taco Bell's digital chief, Dane Mathews, stated to the Wall Street Journal that the company was reevaluating the deployment of its AI drive-thru. This reevaluation followed frustrations expressed by customers on social media, with some even trolling the technology by ordering 18,000 cups of water. Other customers suggested placing absurd orders or speaking in another language to bypass the technology and address a human employee.

Customer frustration is not the only obstacle facing AI drive-thrus. Their credibility has also been called into question. Last year, the Securities and Exchange Commission accused Presto — the company powering the AI drive-thrus at Checkers, Rally’s, Carl’s Jr., Hardee’s, and now, Dairy Queen — of misleading customers about the capabilities of its technology. In 2023, a filing with the SEC revealed that human workers in the Philippines intervened for most orders taken by Presto's AI system.

Future Prospects for AI in Fast Food

Despite these challenges, fast-food chains continue to explore new ways to integrate AI beyond drive-thrus. The Wall Street Journal reports that McDonald's is giving AI-powered drive-thrus a second chance while exploring other applications of the technology. This includes a predictive system that anticipates breakdowns of its equipment, such as its frequently malfunctioning ice cream machine. The company is also using AI-powered scales to compare the target weight of an order with its actual weight, alerting employees if something is missing, which could help ensure that customers receive all components of their order.

Burger King, which is testing AI drive-thrus on a limited basis, announced in February that it is piloting an AI assistant named "Patty," integrated into employees' headsets. This AI assistant can be consulted by workers for help with food preparation, for example, if they forget how many slices of bacon to put on a Texas Double Whopper. Meanwhile, Patty assesses employee friendliness by tracking whether they say "welcome to Burger King," "please," and "thank you." Burger King is also using AI to inform managers when machines are under maintenance or if an item is out of stock, and to remove the affected items from the digital menu board.

Taco Bell is also experimenting with an AI-powered menu board. Instead of simply using AI to remove items from the menu, the technology allows for "dynamically changing the layout, content, and visuals based on each car," according to Ranjith Roy, the CFO of Taco Bell's parent company, Yum!, during the latest earnings call. Although Roy did not elaborate on this feature, it appears to enable Taco Bell to adjust the menu based on the approaching customers.

Other Applications of AI in the Food Sector

AI is not limited to drive-thrus in the fast-food sector. Applebee’s and IHOP are exploring a personalization system that could suggest or sell menu items. A survey by the National Restaurant Association revealed that 26% of restaurant operators are now using AI, primarily for marketing and administrative tasks.

Additionally, AI-powered shopping carts are beginning to appear in some supermarkets. Chains like Whole Foods, Wegmans, ShopRite, Kroger, and Sprouts are testing this technology in some of their locations. These innovations demonstrate that AI continues to transform the food sector, although its integration into drive-thrus remains a challenge to overcome.