Silicon Valley has set its sights on the local trucking industry. In the race to Uberize everything two major apps claiming to be the “Uber” of trucking have been aggressively raising revenue. Both Cargomatic based in Los Angeles and Convoy based in Seattle both strive to connect local trucking companies (usually small carriers) with shippers.
Cargomatic and Convoy have recently raised $16 and $17 million respectively. As of now Cargomatic is the one that operates in the New York Metro area, but Convoy is clearly looking to rapidly expand. They claim that by opening up the market truckers will benefit from more jobs and quicker pay and shippers will benefit by being able to move inventory along quicker. The local trucking industry is estimated to be a $70 billion industry nationwide, a very attractive market for these companies. A quick word of caution for anyone using Cargomatic in New York; Remember, operating a commercial motor vehicle while using a hand held portable electronic device unless parked is a 5 point violation. Make sure the phone is properly mounted in the vehicle and NOT in your hand. Additionally, federal rules require a 60 day suspension for the second conviction within three years for texting or using a portable hand held electronic devise while operating a commercial motor vehicle. Please feel free to share your experience with Cargomatic in the comments below.
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