Ryder and Kodiak Open Truckport for Autonomous Trucks in Houston

Rhea-AI Summary

Ryder System, Inc. (NYSE: R) collaborates with Kodiak Robotics, Inc. to establish the first truckport in Houston to enable the commercialization and scaling of Kodiak’s autonomous truck solution. The collaboration aims to leverage Ryder’s service network to support additional truckport operations and to provide on-site technician and maintenance services. The companies plan to introduce the first driverless operations along the Dallas-Houston route later this year using the Ryder facility as a launch point.

Market Research Analyst

The collaboration between Ryder and Kodiak Robotics signifies a strategic move in the logistics and transport sector, potentially disrupting traditional freight transportation. By establishing a truckport within an existing Ryder facility, Kodiak can efficiently manage the transition between autonomous and manual trucking routes. This integration reduces the need for infrastructure investment and accelerates the deployment of autonomous trucking solutions.

From a market perspective, this partnership could position Ryder as an innovative leader in the adoption of autonomous technology within the supply chain. The ability to scale operations without significant capital expenditure on new facilities is a key advantage. Furthermore, leveraging Ryder's existing network could enhance operational efficiency and lower costs in the long run, which might translate into improved margins and competitive pricing strategies.

Transportation Technology Expert

The use of autonomous trucks in commercial operations is a significant technological advancement in the transportation industry. Autonomous vehicles have the potential to increase safety by reducing human error, enhance efficiency through continuous operation and address the shortage of drivers in the trucking industry. However, the technology's reliability and regulatory acceptance are critical factors that will determine the pace of adoption.

Testing and validation of the truckport operational model at the Ryder facility are crucial steps towards the commercialization of driverless trucking. The success of these tests could lead to wider industry acceptance and increased investment in autonomous trucking technology. Stakeholders should monitor the progress of these developments closely, as they could have far-reaching implications for the transportation sector.

Financial Analyst

Ryder System, Inc.'s stockholders may see the collaboration with Kodiak Robotics as a forward-thinking investment into emerging transportation technologies. The initiative to facilitate driverless trucking operations could enhance the company's service offerings and create new revenue streams. It is essential to evaluate the potential impact on the company's financials, including the costs associated with maintaining and servicing autonomous trucks as well as the anticipated savings from improved operational efficiencies.

In the short term, expenses related to technology adoption and infrastructure adaptation may affect profit margins. However, in the long term, if the technology proves to be successful and cost-effective, it could lead to a revaluation of Ryder's business model and potentially increase its market share in the logistics industry. Investors should consider the balance between the initial investment and the projected long-term gains from this strategic partnership.

Kodiak’s first freight transfer point at a Ryder facility enables planned deployment of driverless trucks to and from Houston

MIAMI & MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)-- Ryder System, Inc. (NYSE: R), a leader in supply chain, dedicated transportation and fleet management solutions, and Kodiak Robotics, Inc., a leading autonomous trucking company, announce a collaboration to leverage Ryder’s service network to enable the commercialization and scaling of Kodiak’s autonomous truck solution. To start, Kodiak and Ryder established their first truckport in Houston, strategically-located at an existing Ryder fleet maintenance facility. The truckport, which opened in December, enables Kodiak to launch and land autonomous trucks as well as transfer freight to serve routes between Houston, Dallas, and Oklahoma City.

A Kodiak autonomous Class 8 tractor-trailer parks outside of a Ryder fleet maintenance facility in the Houston area. The first Kodiak freight transfer point at a Ryder facility opened in December and enables Kodiak to launch and land autonomous trucks as well as transfer freight to serve routes between Houston, Dallas, and Oklahoma City. (Photo: Business Wire)

While the collaboration initially focuses on the establishment of Kodiak’s Houston facility, the companies see opportunity to leverage Ryder’s extensive service network to support additional truckport operations and to provide on-site technician and maintenance services.

“Ryder’s vision is to build out a portfolio of key service elements that support the safe deployment and maintenance of autonomous trucks,” says Karen Jones, EVP, CMO and head of new product development at Ryder. “By managing the unique logistics of autonomous operations as well as the servicing needs of autonomous trucks, we continue to build on our expertise. And by collaborating with leaders in the space like Kodiak, we advance our shared goal of facilitating the commercialization of autonomous technology.”

Today, Kodiak trucks operate all routes with safety drivers, including its Houston-Dallas and Houston-Oklahoma City routes. The autonomous trucking company plans to introduce its first driverless operations along its Dallas-Houston route later this year, using the Ryder facility as a launch point.

“Ryder’s industry-leading fleet services and vast footprint of service locations makes it an ideal partner as we scale autonomous trucks,” said Don Burnette, founder and CEO of Kodiak. “Expanding our network of truckports with Ryder will enable us to operate autonomous trucks at scale with our customers. Our goal is to build the elements we need for driverless operations, and having this Houston location up and running is a critical component of that plan. The Ryder facility will serve as a base to conduct testing and to validate the truckport operational model. Leveraging existing infrastructure eliminates the need for Kodiak to build and develop real estate, and it allows us to focus on launching and scaling driverless truck deployment.”

About Ryder System, Inc.

Ryder System, Inc. (NYSE: R) is a leading logistics and transportation company. It provides supply chain, dedicated transportation, and fleet management solutions, including warehousing and distribution, e-commerce fulfillment, last-mile delivery, managed transportation, professional drivers, freight brokerage, full-service leasing, maintenance, commercial truck rental, and used vehicle sales to some of the world’s most-recognized brands. Ryder provides services throughout the United States, Mexico, and Canada. In addition, Ryder manages nearly 260,000 commercial vehicles and operates approximately 300 warehouses encompassing more than 95 million square feet. Ryder is regularly recognized for its industry-leading practices in third-party logistics, technology-driven innovations, commercial vehicle maintenance, environmental stewardship, corporate social responsibility, world-class safety and security programs, military veteran recruitment initiatives, and the hiring of a diverse workforce. www.ryder.com

About Kodiak Robotics, Inc.

Kodiak Robotics, Inc. was founded in 2018 and has become the trusted world leader in autonomous ground transportation committed to a safer and more efficient future for all. The company is developing an industry-leading technology stack purpose-built for long-haul trucks, making the freight industry safer and more efficient. Kodiak’s unique modular hardware approach integrates sensors into a streamlined sensor-pod structure that optimizes for perception, scalability, and maintainability. The company delivers freight daily for its customers across the South, using its autonomous technology. Kodiak also leverages its commercial self-driving software to develop, test and deploy autonomous capabilities for the U.S. Department of Defense. Learn more about Kodiak on the web at kodiak.ai, and on LinkedIn and Twitter. You can find the company press kit HERE.

Note Regarding Forward-Looking Statements: Certain statements and information included in this news release are “forward-looking statements” within the meaning of the Federal Private Securities Litigation Reform Act of 1995. These forward-looking statements, including our expectations regarding autonomous vehicles, are based on our current plans and expectations and are subject to risks, uncertainties and assumptions. Accordingly, these forward-looking statements should be evaluated with consideration given to the many risks and uncertainties that could cause actual results and events to differ materially from those in the forward-looking statements including those risks set forth in our periodic filings with the Securities and Exchange Commission. New risks emerge from time to time. It is not possible for management to predict all such risk factors or to assess the impact of such risks on our business. Accordingly, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

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View source version on businesswire.com: https://www.businesswire.com/news/home/20240123742782/en/

Ryder Media Contacts

Anne Hendricks

Director, Corporate Communications

+1 305-500-4547

amhendricks@ryder.com

Amy Federman

Vice President, Corporate Communications

+1 305-500-4989

afederman@ryder.com

Kodiak Media Contacts

Daniel Goff

Director of External Affairs

+1 646-515-3933

dan@kodiak.ai

Stacy Morris

PR Consultant

+1 310-415-9188

stacy.morris@futuristacommunications.com

Source: Ryder System, Inc.

FAQ

What is the ticker symbol for Ryder System, Inc.?

The ticker symbol for Ryder System, Inc. is R.

What is the collaboration between Ryder and Kodiak Robotics, Inc. about?

The collaboration aims to establish the first truckport in Houston to enable the commercialization and scaling of Kodiak’s autonomous truck solution.

What are the future plans for the collaboration?

The companies plan to introduce the first driverless operations along the Dallas-Houston route later this year using the Ryder facility as a launch point.