Convoy Trucking Startup, Backed By Jeff Bezos and Bill Gates, Is Closing Operation With No Buyer

Ty Roush reports via Forbes: Convoy, a Seattle-based digital freight booker with investors that include billionaires Bill Gates and Jeff Bezos, announced Thursday it would be shutting down, according to Bloomberg, after the company failed to find a buyer amid a “massive freight recession.” Convoy’s founder and chief executive Dan Lewis notified employees in an internal memo Thursday that “today is your last day at the company,” noting the company is “exploring and evaluating strategic options for what might come next,” Bloomberg reported.

Lewis said the company had evaluated potential suitors to acquire it, though “none of the options ultimately materialized into anything sufficient to keep the company going in its then current form.” Convoy was in “the middle of a massive freight recession and a contraction in the capital markets,” according to Lewis, who added “this combination ultimately crushed our progress” and likely swayed potential suitors away from acquiring the firm. “Following an exhaustive process, spanning many, many months during which we explored all viable strategic options for the business, the result is where we are today,” Lewis wrote. Convoy was founded in 2015 in an effort to prevent trucks from driving “empty miles” without loads. The idea was to use technology to make freight more efficient by connecting truck drivers with freight companies — reducing shippers’ costs, increasing carriers’ earnings, and eliminating carbon emissions in the process.