Sorry, gonna have to stop you mid-headline. Uber has a freight arm? Yes? Okay, go on.
Yesterday, Uber said it received a $500 million investment in its freight business from Greenbriar Equity Group. The unit is now worth a meaty $3.3 billion.
But what does it do? Uber Freight acts as a digital brokerage that connects shippers and long-haul truckers in the deeply fragmented world of logistics. It’s not a huge part of Uber’s overall business, but at 9.4% of the company’s total revenue, it’s not peanuts.
- Plus, it’s growing (+27% annually last quarter) at a time when Uber’s ride-sharing bookings have shrunk due to the pandemic. The company’s other fast-growing unit, Uber Eats, is now bigger than Rides.
Looking ahead…this investment allows Uber Freight to extend its runway “indefinitely,” according to Freight Waves, as well as implement new tech and expand into new markets.
Via Morning Brew