Ike Announces First Fleets in Automated Trucking Customer Program

Rhea-AI Summary

Ike, a developer of automated trucking technology, has launched its "Powered by Ike" customer program, partnering with Ryder System (NYSE: R), DHL, and NFI. These companies will be among the first to deploy Level 4 automated trucks, having reserved 1,000 Class 8 tractors. Ike's innovative model provides technology to existing fleet operators through a subscription service, enhancing logistics efficiency and creating new job opportunities. The firm's approach aims to make trucking safer and more productive, and it has raised over $52 million from investors.

Positive

• Partnerships with leading logistics companies Ryder, DHL, and NFI to deploy automated trucks.
• Reservation of the first 1,000 Class 8 tractors, signaling strong market interest.
• Unique subscription model allows existing fleet operators to adopt automated technology.
• Potential to create 140,000 local truck driving jobs by 2030, according to Yale study.
• Focus on safety and efficiency in trucking operations.

Negative

• None.

SAN FRANCISCO, Sept. 1, 2020 /PRNewswire/ -- Ike, a developer of automated trucking technology (also referred to as "self-driving" or "autonomous" trucking), today announced its "Powered by Ike" customer program, including partnerships with leading logistics companies Ryder System, Inc. (NYSE: R), DHL, and NFI. These industry-leading fleets will be among the first to deploy "level 4" automated trucks on highways.

As part of the multi-year Powered by Ike program, these fleets, as well as several others Ike has not yet announced, have collectively reserved the first 1,000 Class 8 tractors powered by Ike's technology. Leading up to the launch of a commercial solution, Ike and its fleet customers are collaborating in several areas to provide feedback, perform testing, and prepare to launch and scale up operations.

Ike, founded in 2018 by veterans of Google, Apple, and Uber, is building technology to automate the safe and reliable transportation of freight. Ike's vision is for automated trucks to drive on the highway, handing off loads to truckers in manually-driven trucks for the journey to and from the interstate. This approach massively simplifies the technical challenge of automation, and creates new opportunities for truck drivers to use their skills and expertise where it matters most, while increasing fleet utilization to help Ike's customers improve their operating margins. A Yale University study last year that analyzed Ike's handoff model concluded that automation could create 140,000 new local truck driving jobs by 2030 (www.ike.com/impact).

Ike's business model is novel for the industry; instead of scaling up its own fleet of trucks, Ike is putting technology directly into the hands of existing fleet operators through a software subscription model. Ike's fleet customers will buy vehicles from OEM truck manufacturers with Ike's system of hardware and software already installed, and pay Ike an annual subscription fee. Trucks powered by Ike will be capable of operating in automated driving mode on designated freight routes. Ike plans for the subscription to include various support services, such as integration into digital tools to dispatch and manage the automated trucks, maintenance of new equipment, roadside support, and access for the physical handoff of freight to truckers.

"We are focused on building technology that will help make trucking safer and more productive," said Alden Woodrow, CEO and Co-founder of Ike. "We want to put all our effort behind systems engineering, computer vision, and validation. Working with these sophisticated fleet partners allows us to plug Ike's automation solution into huge existing logistics networks that already know how to move goods efficiently. Our skill sets are complementary, and we think we can make the most progress by working together."

"The industry is experiencing major disruption with ever-escalating consumer and business demands, regulatory and safety pressures, growth of e-commerce, as well as the rise of the sharing economy," said Karen Jones, Executive Vice President and Chief Marketing Officer for Ryder. "We are at the forefront of identifying new technology and fleet advancements, while acting as an extended research and development arm for our customers. Working with an automation technology leader such as Ike is a continuation of this journey."

"No industry has gained more prominence in the COVID-19 pandemic than logistics, with millions stuck at home sheltering-in-place and relying on delivery of food, medical supplies, and other essential items," said Jim Monkmeyer, President, Transportation, DHL Supply Chain North America.  "Ike's automation solution is an excellent fit for DHL Supply Chain's accelerated digitalization approach, and will allow us to continue making our customers' supply chains more secure, flexible, and robust to handle future challenges like the one we have all faced in 2020."

"Our approach to innovation and the people that deliver our solutions are key to the customer value that NFI delivers," said Ike Brown, President and Vice Chairman of NFI. "We are excited to add automated trucking technology to our growing innovation portfolio and accelerate the supply chain industry, similar to what we have been able to do with our early adoption of electric vehicles."

About Ike:
Ike is a developer of automated trucking technology. Ike's mission is to make trucks safer, truckers more valued, and trucking more productive. Founded by a team of product and engineering leaders with experience building a wide range of new technologies, Ike has taken a unique approach to commercialization. In 2018, Ike announced a licensing agreement with Nuro, a Mountain View-based developer of last mile delivery vehicles. In 2019 Ike became the first company to submit a Voluntary Safety Self Assessment to the US Department of Transportation before testing its automation system on public roads. Ike has raised more than $52 million from technology investors based in San Francisco and Detroit. www.ike.com

About Ryder:
Ryder System, Inc. (NYSE: R) is a leading logistics and transportation company. It provides supply chain, dedicated transportation, and commercial fleet management solutions, including full service leasing, rental, and maintenance, used vehicle sales, professional drivers, transportation services, freight brokerage, warehousing and distribution, e-commerce fulfillment, and last mile delivery services, to some of the world's most-recognized brands. Ryder provides services throughout the United States, Mexico, Canada, and the United Kingdom. In addition, Ryder manages more than 250,000 commercial vehicles and operates more than 300 warehouses encompassing approximately 55 million square feet. Ryder is regularly recognized for its industry-leading practices in third-party logistics, technology-driven innovations, commercial vehicle maintenance, environmentally friendly solutions, corporate social responsibility, world-class safety and security programs, military veteran recruitment initiatives, and the hiring of a diverse workforce. www.ryder.com

About DHL:
DHL is the leading global brand in the logistics industry. Our DHL family of divisions offer an unrivalled portfolio of logistics services ranging from national and international parcel delivery, e-commerce shipping and fulfillment solutions, international express, road, air and ocean transport to industrial supply chain management. With about 380,000 employees in more than 220 countries and territories worldwide, DHL connects people and businesses securely and reliably, enabling global trade flows. With specialized solutions for growth markets and industries including technology, life sciences and healthcare, energy, automotive and retail, a proven commitment to corporate responsibility and an unrivalled presence in developing markets, DHL is decisively positioned as "The logistics company for the world".

About NFI:
NFI is a fully integrated North American supply chain solutions provider headquartered in Camden, N.J. Privately held by the Brown family since its inception in 1932, NFI generates more than $2 billion in annual revenue and employs over 13,000 associates. NFI owns facilities globally and operates more than 50 million square feet of warehouse and distribution space. Its dedicated fleet consists of over 3,000 tractors and 12,500 trailers operated by 3,000 company drivers and leveraging partnerships with 400 owner operators. NFI has a significant drayage presence at nearly every major U.S. port, leveraging the services of an additional 1,500 owner operators. The company's business lines include dedicated transportation, distribution, brokerage, transportation management, port drayage, intermodal, global logistics, and real estate. For more information about NFI, visit www.nfiindustries.com or call 1-877-NFI-3777.

Media Contact: press@ike.com

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SOURCE Ike

FAQ

What is the "Powered by Ike" customer program?

The "Powered by Ike" customer program is Ike's initiative to partner with leading logistics companies to deploy Level 4 automated trucks on highways.

Which companies are involved in Ike's automated trucking program?

Ryder System (NYSE: R), DHL, and NFI are partnering with Ike in its automated trucking program.

How many tractors has Ike reserved for its automated trucking program?

Ike has collectively reserved the first 1,000 Class 8 tractors powered by its technology.

What is Ike's business model for automated trucking?

Ike offers a subscription-based model where fleet operators purchase vehicles with Ike's technology installed and pay annual fees for services.

How could Ike's technology impact truck driving jobs?

A Yale study suggests that Ike's automation could create 140,000 new local truck driving jobs by 2030.