Globally, bringing technology to trucking industry has come to light as a massive opportunity. However, while major players like Amazon and Uber fight over the US market, Brazil’s CargoX has quietly dominated Latin America’s biggest market.
Within six years of being founded, CargoX is now a top ten player in Brazil’s trucking industry and the third largest fleet in the world, with 2.6 million trucks. Through an app that allows companies to book freight options on-demand, CargoX has made trucking more efficient for both the senders and the truckers themselves. Normally, trucks run empty as much as 40% of the time, according to CargoX founder, Federico Vega.
CargoX has received funding in the past from Qualcomm Ventures, Goldman Sachs, and Valor Capital Group, raising a total of US$34M since it was founded. While CargoX owns just 3% of the Brazilian market right now, they were able to double their revenue in the last year, reaching US$200M.
Vega is confident that CargoX will become one of the top five competitors in Brazil in the next few months. For now, CargoX will be sticking to the Brazilian market, and eventually looking to expand through Latin America, but not to the United States, where competition is fierce.
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