C.H. Robinson CEO Says AI Adoption Will Accelerate Freight Brokerage Consolidation

C.H. Robinson Worldwide chief executive Dave Bozeman has said that artificial intelligence will reshape the freight brokerage industry but dismissed fears that new AI platforms pose an existential threat to established players.

Speaking after a sharp selloff in transportation and logistics stocks earlier this month, Bozeman described the market reaction as short term. Shares in C.H. Robinson fell more than 14 percent in a single session following comments from AI technology firm Algorhythm Holdings about rapid scaling through its SemiCab freight platform. The stock has since regained some ground but remains volatile.

Algorhythm said its technology enables customers to increase freight volumes by 300 to 400 percent without expanding operational headcount, fuelling speculation that AI driven platforms could disrupt traditional brokerage models that rely heavily on human coordination and manual processes.

Bozeman argued that scale and data depth will determine which companies succeed in an AI powered logistics landscape. He said C.H. Robinson’s extensive proprietary data and long standing customer relationships give it a competitive edge that would be difficult and expensive for new entrants to replicate quickly.

The freight brokerage sector, valued at more than 800 billion dollars globally, connects shippers with carriers and manages pricing, routing and capacity. AI tools are increasingly being used to automate quoting, optimise routes, predict demand and reduce administrative workload.

Bozeman said the company is investing in agentic artificial intelligence systems designed to act autonomously in handling routine tasks, improving speed and efficiency across operations. He suggested that rather than eliminating established brokers, AI would reward firms that can integrate technology effectively at scale.

He also predicted that smaller freight brokers may struggle to keep pace with the cost and complexity of implementing advanced AI systems. This, he said, is likely to lead to consolidation across the industry as companies seek partnerships or acquisitions to remain competitive.

C.H. Robinson recently reported fourth quarter profits that exceeded Wall Street expectations, citing productivity gains driven by technology upgrades. The company said AI powered efficiencies have helped streamline internal workflows and reduce manual interventions in core functions.

Investors have been closely watching how logistics firms adapt to digital transformation amid broader economic uncertainty. Rising interest rates, fluctuating shipping volumes and evolving supply chain patterns have already pressured margins across the sector. The introduction of AI tools adds another layer of strategic decision making for executives and shareholders alike.

Industry analysts note that while new AI platforms can deliver rapid gains in specific use cases, large scale brokerage networks rely on trust, compliance frameworks and established infrastructure that cannot be replicated overnight.

Bozeman maintained that innovation and consolidation will go hand in hand, positioning larger, data rich operators to lead the next phase of growth in global freight markets.