Flexport Offloads Previously Acquired Freight Tech to Convoy After Two Years – Tech Transition in Logistics Industry

In a strategic move announced on Monday, logistics powerhouse Flexport has sold the Convoy platform to DAT Freight & Analytics, following an 18-month period of extensive redevelopment and relaunch. While the specific terms of the transaction remain undisclosed, Flexport’s founder and CEO, Ryan Petersen, asserted that the sale signifies a substantial return on investment for the company.

According to Petersen, the transformed Convoy platform now operates as a neutral digital freight execution layer, catering to brokers, carriers, and shippers across the market. This redevelopment effort has proven fruitful, with the platform demonstrating significant growth, increased utilization, and enhanced value since its acquisition by Flexport.

In a statement, Petersen explained that the sale of Convoy’s technology would enable Flexport to channel its resources and energy into its primary business focus: facilitating global freight movement for customers.

This strategic divestment follows closely on the heels of Flexport’s announcement in late 2020 regarding the rollout of an AI-powered suite of tools, along with plans to introduce a series of new customer offerings twice yearly – a strategy inspired by Airbnb CEO Brian Chesky. At that time, Flexport indicated that the second product release was slated for “late summer.”