RXO is a freight brokerage and logistics services company. Its core business is truck brokerage: acting as an intermediary between shippers and independent carriers. RXO does not own trucks; it matches shippers that need to move freight with carriers that have available capacity, earning a margin on the spread between what shippers pay and what RXO pays carriers. RXO organizes its business into two groups: Brokerage (~72% of revenue), which includes full truckload and LTL services, and Complementary Services (~28%), which includes last-mile delivery for heavy and bulky goods (where RXO is the largest U.S. outsourced provider), managed transportation, and freight forwarding. RXO's customers span retail and e-commerce, food and beverage, industrial, and automotive, ranging from small businesses to Fortune 100 companies. In September 2024, RXO acquired Coyote Logistics from UPS for ~$1B, making RXO the third-largest North American freight broker and more than doubling its TL volume. RXO runs an asset-light model; operating expenses are primarily labor and last-mile hub costs, and management estimates 80%+ flow-through from gross profit to EBITDA at the margin. RXO invests over $100M annually in technology, including AI-driven pricing and carrier matching tools, and has improved loads per person per day by ~40% over two years.