What happened to drone delivery service?

This mini-documentary explains it pretty well: https://www.youtube.com/watch?v=J-M98KLgaUU

TL;DW: No-fly zones, costs, and drones not being intelligent enough to detect where they are going to drop off packages. It is cheaper and easier to do the last mile via traditional methods than dealing with all the risks and limitations of flying.

It is not that viable. Even large drones cannot carry more than a few kilos for 40 minutes (on one set of batteries). It just doesn’t have good ROI, and is mainly a PR move by Amazon and some VC funded startups. I accept there are some practical applications, but a human on a bike/ on foot is a lot more efficient than buying and maintaining a fleet of mini aircraft.

Source: I run a drone company

Is there a lot of demand for this from consumers? Enough demand from consumers to make drone delivery profitable?

Drone delivery could be a good option for delivering to hard-to-access places, but as one poster pointed out it's only a tiny niche of logistics overall.

You'll hear it when it comes. I suspect there will be complaints about the noise if rolled out in a significant amount.

It would seem cheaper to stay on the ground, lifting things and keeping them off the ground is quite expensive by comparison.

FAA tightened rules in regards to commercial use of drones. Except for the most extreme cases, it's still cheaper to send someone with a vehicle than the infrastructure/approval/operating costs of sending a drone.

It is getting developed... it is already available in some areas though for some type of items... https://www.ecommercenext.org/top-10-commercial-drone-delive...