Uber commits $200 million to Uber Freight expansion in bet on trucking and Chicago

Uber Freight is establishing its headquarters in Chicago as aspect of Uber’s broader strategy to invest extra than $200 million annually in the area, like hiring hundreds of workers.

Uber mentioned Monday it will employ 2,000 new staff in the area more than the subsequent 3 years, most of which will be devoted to Uber Freight .

Uber Freight, which aids truck drivers connect with shipping businesses, has develop into an crucial piece to Uber’s bigger organization approach to create income from all types of transportation, like logistics for packages.

Because launching in May possibly 2017, Uber Freight has grown from from restricted regional operations in Texas to the rest of the continental U.S. and then to Europe.

Uber created Uber Freight a separate organization unit in August 2018. Because then, the business has redesigned the app, adding new navigation options that make browsing for and filtering loads much easier to customize and extra intuitive, as nicely as other options, like an updated map view and a search bar across the top rated of the screen.

It is also created some essential hires, one particular of which intimated the company’s worldwide ambitions. The company hired Andrew Smith, one particular of Box’s early staff, to head up worldwide sales at Uber Freight, and Bar Ifrach, formerly of Airbnb, to lead its marketplace group.

With indicators of some results, Uber is doubling down on the trucking organization.

Uber Freight has extra than 400,000 drivers in its carrier network and 1,000-plus shippers as prospects, like AB Inbev, Niagara Bottling and Land O’Lakes, according to the business. Uber Freight also has extra than 50,000 carriers on the platform.

“I believe this makes Uber Freight  the biggest virtual fleet in the United States,” Lior Ron, head of Uber Freight, told TechCrunch in a current interview.

The business has been fairly quiet as it has scaled up, Ron mentioned, noting that this announcement marks a turning point for Uber Freight.

“This is really a graduation moment for us and where we can share that because the business is doing so well we are doubling down on our investment,” he mentioned.

The new Uber workplace positioned in The Old Most important Post Workplace in the historic Chicago River location will serve as Uber Freight headquarters and its initially engineering hub outdoors of San Francisco.

“Trucking represents an enormous opportunity for Uber, and this milestone is a testament to our long-term commitment to our Freight business,” Uber CEO Dara Khosrowshahi mentioned in a statement. “Chicago is the heart of America’s transportation and logistics industry, and there is no better place to open our dedicated Freight HQ. Uber has long recognized the incredible history, innovation, and talent that Chicago has to offer, and we’re excited about the thousands of new jobs our Freight business will help bring as we become one of the city’s largest technology employers.”

As aspect of its new investments in the area, Uber is collaborating with the Chicago Cook Workforce Partnership (CCWP) to assistance with workplace diversity. Uber will start off onboarding new staff in 2020 and will function with CCWP to create a method for identifying prospective candidates by means of their technique.