Amazon is building an app to match truck drivers with shippers in a new Uber-like service to cater to the $800 billion trucking industry, Business Insider reported.
The news outlet, citing an unnamed source, said the app will let truckers find shippers that need goods moved — much like the way Uber connects cab drivers with riders — eliminating a third-party broker that typically charges a hefty commission.
The app is set to launch in the summer, the outlet reported.
The new app comes as Amazon makes inroads into the trucking industry with thousands of trailer trucks and cargo planes — and puts it in competition with new startups and current players, including C.H. Robinson, in which CEO Jeff Bezos is an investor, Business Insider reported.
According to Business Insider, some 84 percent of all freight spending is on trucking, an industry worth $800 billion — mostly comprised of small trucking companies that have become a major job producer in many states.
"Amazon already has a giant shipping network, and a rapidly growing package volume, so theoretically it shouldn't be hard to find a load match for the drivers on its platform," Business Insider's Eugene Kim writes.
"Trucking has certainly been one of the hottest spaces in tech over the past few years, with even big startups like Uber joining the race," he adds. "Amazon is the new 800-pound gorilla that everyone will have to be aware of."
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