May 19, 2017 08:05 AM EDT
Uber To Disrupt The American Trucking Industry, Introduces Its New Service Uber Freight [VIDEO]
The very popular ride-hailing app Uber is getting some big new this week. Uber is about to disrupt the big American freight trucking and logistic industry. The ride-sharing app has just launched a new service that will match truck drivers with companies who need cargo and merchandise shipped across the country.
The San Francisco, California-based company this week has officially launched Uber Freight, a new service from the ride-hailing company that pairs up trucking companies, including independent operators, with loads to haul. The newly introduced Uber service is entirely focused on drivers and trucking companies, TechCrunch reported.
The official launch of Uber Freight marks Uber's long-anticipated move into the American trucking industry, potentially disrupting one of the biggest employment group in the U.S. Uber is now officially in the trucking business.
According to US Bureau of Labour Statistics, the transportation and trucking service is the fourth-largest employment group in the U.S., just behind the food preparation and office staff workers. General freight trucking service and specialized trucking service are among the logistic industries with highest employment levels.
In a recent company's blog post, Uber claims that the new Uber Freight app will relieve stress for truck drivers by confirming rates and loads within seconds. It also delivers payments within a few days, which is much faster than the month-long waiting periods that are typical in the US trucking industry.
The company also states that they're trying to address another big issue when it comes to small trucking companies and independent drivers: it's the payment speed. Like many freelance workers, truck drivers typically have to wait at least 30 days to receive their payment, while Uber Freight will pay "within a few days, fee-free, for every single load.
Uber is said to be keen on making the payment faster. And if there's a case where the payments haven't reached to the truck drivers, Uber will take care of the pay additional fees depending on the driver's wait periods.
As for the apps, the Uber Freight app looks almost the same with the main Uber app. The new Uber service would be targeted towards vetted and approved drivers, who can browse for nearby available loads and can see destination info.
In launching its new Uber Freight service, the company hasn't mentioned any words about Otto, the automated trucking service Uber just bought last year. Otto is said to be at the core of Uber's self-driving trucks effort.
Uber is not the only company trying its luck in the big American trucking industry. The Seattle-based e-commerce behemoth Amazon is also on the hunt. The e-commerce giant is reportedly working on a similar Uber trucking service that would pair truck drivers with companies that need goods and cargoes delivered across the country.