DB Schenker is to invest $25 million in cargo booking service uShip

DB Schenker is to invest $25 million in cargo booking service uShip
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Several technological startups in the US are hoping to revolutionize the freight market, similar to the coup that Uber technology has made in the taxi market. “Uber for trucks” – that is how the developers of mobile applications that connect the senders of goods with truck drivers like to call themselves. A number of such companies have recently managed to attract significant funds from venture investors.

The founder and general director of uShip, Matt Chazen, said in an interview that the mobile application of the company at any one time is used by about 100,000 truck drivers, and two years later, uShip plans to consider the possibility of an IPO. Recently, the German logistics company DB Schenker announced that it would use uShip freight technology to organize road transport in Europe.

Forecasts for rapid development of uShip

DB Schenker notes that expanding partnership with uShip will accelerate and improve the efficiency of cargo transportation management, which will contribute to the growth of volumes. “We also intend to expand beyond our classical business models,” said Schenker CEO Johan Thuis.

Currently, the number of users of the uShip platform is about 30,000 shippers and transport service providers in 19 countries. At the initial stage, DB Schenker plans to use the platform for organizing ground transportation. The new service was launched in Germany this month and will gradually spread to other countries.

All the documents about cooperation between uShip and DB S were signed in May. As a minority shareholder, DB Schenker’ll receive a place in the board of directors.

Alternative projects for u-ship freight and logistics

Large traditional transport and logistics operators are actively investing in the development of Internet technologies to ensure their long-term competitiveness. Last month, DHL, a division of the Deutsche Post DHL Group, providing express delivery, transport and logistics services, announced the launch of its own electronic trading platform, linking consignors and transport service providers, the CILLOX system. Last year it was reported that Amazon is ready to invest in the acquisition or development of its own online booking service for freight transport.