Ryder Partners with Embark to Develop Autonomous Trucking Logistics

Ryder Expands Autonomous Trucking Partnerships with Embark

Ryder, a leading supply chain and fleet management solutions provider, has announced a new collaboration within the autonomous trucking sector.

The company will assist Embark in establishing a nationwide network of transfer points. This network, comprising up to 100 locations, will be developed and managed directly by the autonomous trucking technology firm.

Expanding Portfolio of AV Collaborations

This partnership marks Ryder’s third publicly disclosed venture with companies focused on autonomous trucking.

Current initiatives include supporting Waymo Via in scaling its operations through standardized fleet maintenance and management services.

Ryder is also collaborating with TuSimple, utilizing existing facilities as dedicated terminals for the startup’s needs.

“We are actively positioning ourselves at the forefront of autonomous vehicle technology,” stated Karen Jones, Ryder’s EVP for new product innovation, in an interview with TechCrunch. “We aim to engage with companies poised to lead the market with their innovative technologies.”

Strategic Approach to Autonomous Vehicle Integration

While discussions are ongoing with other AV companies such as Kodiak, Aurora, and Plus, Jones indicated that no other agreements are currently at a comparable stage of development.

Ryder intends to leverage its existing partnerships to gain insights and refine a replicable transfer hub model. This will facilitate faster market entry and expansion.

“The advancement of this technology presents numerous uncertainties regarding maintenance, servicing, and operational procedures,” Jones explained. “Ryder’s extensive maintenance facilities and comprehensive supply chain and logistics expertise make us a natural partner.”

Embark Partnership Details

As part of the collaboration with Embark, Ryder will provide essential yard operations, maintenance services, and comprehensive fleet management solutions.

Furthermore, Ryder will offer advisory support regarding Embark’s network of strategically positioned transfer points. These points will facilitate the transfer of freight between driverless long-haul trucks and driver-operated vehicles for final-mile deliveries.

Ryder is actively collaborating with Embark and its third-party partners to identify suitable locations and oversee the construction or adaptation of these facilities.

Initial site selection will focus on key freight markets in California, Arizona, Texas, Georgia, Tennessee, and Florida. Operations are anticipated to commence early next year, paving the way for a broader commercial launch in 2024.

Autonomous companies frequently prioritize Sun Belt regions for initial operations due to the reduced risk of inclement weather conditions, creating an optimal testing environment.

Over the next five years, Embark and Ryder plan to collaborate with real estate operators to establish 100 Embark transfer points nationwide.

Embark’s Current Operations

Embark currently provides freight services to prominent companies including HP and Anheuser-Busch InBev, as well as major trucking carriers like Knight Swift Transportation and Werner Enterprises.

According to CEO Alex Rodrigues, these existing freight partnerships represent either pilot programs or scaled-down versions of the company’s future plans.

Embark currently operates a fleet of 16 trucks equipped with a human safety operator. However, the driver typically does not need to intervene, even when encountering unfamiliar scenarios.

Hub Network Importance and Competitive Landscape

Operating on highways necessitates the development of a network of off-highway transfer hubs, a crucial element requiring significant capital investment and time for scaling.

In contrast to Embark’s approach of building new terminals, TuSimple is leveraging existing Ryder locations and retrofitting them to function as TuSimple terminals.

Waymo Via is also independently constructing its own hubs, and Ryder’s fleet maintenance, inspection, and roadside assistance services will contribute to the scalability and reliability of these sites.

Ryder’s Future in Autonomous Vehicles

Through its diverse collaborations, Ryder is evaluating its own potential role in the AV space, extending beyond logistics.

Jones indicated the company is open to operating an autonomous fleet for customers if it proves beneficial. Ryder is also well-positioned within the first- and last-mile delivery sector.

“Ryder has multiple avenues for involvement as the AV initiative progresses,” Jones concluded. “Our initial focus is on providing servicing and gaining a thorough understanding of the technology, as well as the requirements for operating efficient transfer hubs.”