Dive Brief:
- Charger Logistics USA plans to purchase up to 500 tractors equipped with Aurora Innovation’s driverless technology over the next few years, according to an Oct. 26 press release.
- The carrier intends to deploy the trucks on current and new high-volume routes near the U.S.-Mexico border and throughout the country, per the release. Truck deliveries are expected to occur between 2027 and 2028.
- The plans, made via a non-binding memorandum of understanding, build on an existing partnership between the two companies. In July, Charger Logistics added driverless truck capacity on a route between Dallas and Laredo, Texas.
Dive Insight:
The companies are positioning the pledge to scale as a win-win for both the carrier and the autonomous tech provider.
Charger Logistics President Andy Khera said since the company launched autonomous operations along its Laredo corridor, it recognized immediate operational benefits, and an expanded deal provides a clear path to scale those benefits.
"Aurora’s plans to open long-haul, high-volume routes position us to scale geographically while we integrate autonomy from our TMS to the road, building a resilient and autonomous ecosystem for our customers,” he said in the release.
Meanwhile, Aurora’s latest agreement with Charger Logistics builds momentum for Aurora. The autonomous trucking company has said its goal is to have more than 200 driverless trucks in operation by the end of this year, and 30,000 in operation by 2030.
In order to reach that scale, Aurora said it seeks to operate an asset-light business — where it offers the technology to companies, but they own the trucks — which it deems a "driver-as-a-service" business model.
Charger Logistics plans to subscribe to Aurora's driver-as-a-service model and own the trucks, per the release. Earlier this year, Aurora announced a similar 500-truck expansion plan with Hirschbach Motor Lines, where the carrier will own the Aurora Driver-powered trucks.
Aurora said other customers are actively pursuing driver-as-a-service model contracts with the company, which the firm says demonstrates “the demand for autonomous trucks at scale.”
Aurora VP of Business Development Zac Andreoni said in the release that Charger Logistics has the experience to move large volumes of freight across the continent, which made its ownership of autonomous trucks a natural next step for the carrier.
In addition to working with Aurora, Charger Logistics is actively ramping up its use of autonomous driving technology with other companies. The company earlier this month launched a 435-mile lane between Dallas and Laredo, Texas with Kodiak AI.
In a statement announcing that launch, Khera said that autonomous technology allows his company to build a network that serves both its customers and its drivers. The use of driverless technology, he added, “creates a nearly fully automated ecosystem that gives our customers long-term capacity continuity through changing labor markets and freight demand, while bringing our drivers home every night.”