Uber's newly formed business unit, Uber Freight, is now steamrolling its way into Europe to help transform the way European businesses move their goods. The company's newest mobile platform, which is part of its massive global expansion plans, was just launched this week in the Netherlands. The launch is the first of many planned launches within the year throughout the country.
Uber Freight was initially established by Uber and the self-driving trucking company Otto in 2017. The Uber Freight app essentially works like its ride-hailing counterpart but is specifically catering to long-haul truck drivers. According to Otto's co-founder and the current CEO of Uber Freight, Lior Ron, drivers in the Netherlands should be able to book their first transport using the app within the next few weeks. This will then be followed by several launches in other European countries, where the app will be made available.
In a blog post published online, Ron explains that the freight market in Europe, as well as in the United States, still remains to be very inefficient, with over 21 percent of the total distance traveled being unutilized. Europe's truck hauling market, believed to be worth more than US$400 billion, is highly lucrative and is one of the largest in the world, just behind China and the United States. Ron believes that the Uber Freight app could be the solution to address the inefficiency problem in Europe. He also stated that the app can provide so much more advantages to the industry, given how it can connect small-to-medium carriers with larger shippers.
Since its launch in 2017, the business has been scaling up at an unprecedented rate. It initially had limited operations in Texas, which then grew to cover the entire continental United States. On top of its traditional hailing service, Uber Freight has expanded to include several other features and programs specifically aimed at improving the working environment and conditions for its drivers. This included the launch of Uber Freight Plus, which offered drivers discounts on necessary services and goods such as tires, fuels, and mobile network plans.
Last year, Uber Freights was made into a separate business unit backed by substantial investments. The app itself was then redesigned with added features such as better navigation and load transport preferences. In the United States, the app has been downloaded more than 328,000 times. The company reportedly now has over 30,000 active users who are either booking transports for their goods or are being booked to transport those goods.
