Summary:
FleetWorks raised $17M, led by First Round Capital, to enhance its AI-powered marketplace for trucking
Co-founded by ex-Uber Freight and Airbnb alumni, it matches 10,000+ carriers with brokers using artificial intelligence
The platform uses customized voice and text models to handle communication and complex logistics details, saving time for small fleets
Key features include an "always-on" AI dispatcher that reduces manual efforts and adapts to changing pickup times and prices
Focus on change management and seamless integration helps carriers and brokers adopt AI without disrupting existing workflows
Modernizing the Trucking Industry with AI
Thousands of small trucking companies in the United States still rely on outdated methods to move goods, according to Paul Singer. He left his product manager role at Uber Freight to co-found FleetWorks, aiming to bring modernization to this essential sector.
Developed during Y Combinatorâs Summer 2023 batch, FleetWorks is building a marketplace that uses artificial intelligence to quickly match carriers with cargo. This innovation saves time for both sides of the transaction, making logistics more efficient.
Co-founders Singer and Quang Tran, who previously worked on ambitious projects at Airbnb, see a huge opportunity here. Their vision has gained significant traction: in just six months, FleetWorks has onboarded over 10,000 carriers and dozens of brokers, including Uber Freight.
Major Funding and Expansion Plans
To accelerate growth, FleetWorks has secured $17 million in funding. This includes a $15 million Series A round led by First Round Capitalâs Bill Trenchard, who also backed Uberâs seed round in 2010. Other participants include Y Combinator, Saga Ventures, and LFX Venture Partners. The funds will support hiring, commercial expansion, and product development, such as the new "always-on" AI dispatcher.
Singer emphasized choosing First Round Capital for their deep understanding of marketplace companies. Trenchard believes AI is ideal for managing these transactions, especially for small businesses, as traditional software often falls short by forcing rigid data structures.
AI in Action: Communication and Matching
FleetWorks focuses on improving communication in trucking. By understanding each carrierâs preferred methodâwhether phone calls, text messages, or portal chatsâthe platform uses a mix of off-the-shelf and custom voice and text models. Its AI agents handle complex matching, considering factors like location, timing, pricing, and even specific requirements such as steel-toed boots or family commitments.
Currently, this process can involve dozens of calls and messages, costing small fleets valuable time and money. FleetWorksâ AI-powered system detects matches and seamlessly integrates carriers into brokersâ systems, adapting to fluid changes in pickup times or prices.
Tackling Nuances and Reducing Hallucinations
To manage the detail-rich environment and minimize AI errors, FleetWorks employs multiple specialized models for specific tasks. The always-on dispatcher aggregates data from these agents, ensuring accuracy. Singer highlights that success isnât just about technology; itâs also about change management and helping customers adapt, a lesson from his Uber Freight days.
Trenchard notes that AI fits into existing behaviors without requiring business changes, making adoption smoother. Despite the Uber influence, Singer is open to diverse talent, noting interest from engineers eager to solve real-world problemsâeven if they havenât seen classic films like "Shrek."
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