The line being drawn between traditional trucking expertise and high technology applications was in the spotlight again today.
A report from CNBC today says that several High Technology Startups are looking to disrupt the $700 billion trucking industry.
CNBC’s Morgan Brennan reports that Uber-like Technology is finally shaking up the way goods are shipped with user-friendly apps, operating in the cloud, and algorithms that match freights and trucks at market competitive rates.
Convoy, the Seattle based startup we’ve written about previously, has raised 80 million from the likes of Bill Gates and Jeff Bezos.
Brennan interviewed an Anheuser Busch rep who said using this technology is making its supply chain more efficient.
The move towards automation presents a big shift in how truckloads are brokered.
Traditionally the Brokerage business is very people centered and relies on relationships, telephones and at times even the fax machine
But now Brennan said, alongside Convoy, are other newcomers in the race to dominate on demand trucking, including Amazon, UberFreight, and Cargomatic.
Trucking experts vs. tech Gadgetry
So, while the jury’s still out on which technology startups will go the distance, there’s also the question of whether to rely on traditional trucking expertise that provides shippers with cheap and reliable service, using established product and performance definitions and metrics.
Or, whether to adopt the technology of advanced vehicle-related IT systems, automated fleet management, cloud-based data analytics, robotics, location detection, and autonomous vehicle technologies.
Where would you cast your vote?