There is a new brokerage option in the trucking industry: RXO Incorporated. On Nov. 1, XPO Logistics announced to the public that the spinoff of RXO Inc. was completed, as reported by Freightwaves.
Brad Jacobs serves as XPO’s executive chairman and RXO’s nonexecutive chairman and was featured in the news release announcing the now independent companies.
“With the spinoff complete, XPO and RXO have both launched from positions of strength as independent public companies,” Jacobs said. “I want to thank the many people who have worked to make our strategic plan a success and created powerful new avenues for value creation.”
RXO is the fourth-largest truckload brokerage in the United States. They serve a network of nearly 100,000 carriers, connecting them to shippers, and over 1.5 million trucks. In 2021, RXO saw $2.7 billion in revenue. When incorporating in last mile offers, freight forwarding, and managed transportation, RXO sees over $5 billion in revenue each year.
RXO has also performed well digitally. Their app, RXO Drive, has been downloaded 850,000 times, with the third quarter seeing an addition of 10,000 carriers to the online network. This resulted in 81% of brokerage loads happening or being taken care of all online.
“[Tuesday] is a landmark moment for our business,” said Drew Wilkerson, RXO CEO “With the launch of RXO, we’ve established a standalone tech-enabled pure-play that will continue to thrive in any market. RXO is well-positioned to unlock value for our stakeholders.”