Rail shipping has been a “take it or leave it” service for far too long. Technology needs to change that.
The UP-NS merger promises to fix freight rail's fragmentation problem. Shippers say that's not the issue.
A Kansas grain shipper's fight over a suspiciously-timed lease fee just became a landmark moment in the decades-long battle against railroad paper barriers.
All of this increased access to information allowed for us to get better/faster/smarter according to our ability to consume and act on that information. That’s not really the case anymore.
It’s the proliferation of the mercenary managerial class, drifting from job to job and company to company, leaving within its wake of optimization a soulless husk
GATX’s announcement shows that they’re moving to the next step by attacking one of the core issues with shipper adoption of RailPulse: “These aren’t the features we’re interested in.”
If you’re looking at this merger as the catalyst that finally delivers organic carload growth or truckload conversions to the industry, keep looking. This isn’t the merger you’re looking for.
It feels like the main opposition to merger is giving up. Or at least they should if this is all the defense they’re going to muster.
Is a Congressional mandate the only way to force the industry to implement improved technology?
The core issue is that railroads reject any new innovation like a virus. Building rather than buying new technology doesn't change that.
If you were surprised by the replacement of Joe Hinrichs as CEO of CSX, then you weren’t paying attention.
The opportunity for shippers to oppose the merger, if it was ever there, is losing momentum.
UP could be right on the money or is this just another sign that operations have been in charge of the Class 1’s for too long?
Wall Street has been asking UP if they have the support of the White House in pursuing this merger. By all appearances, it seems they don’t. That’s not a good sign.
Producing new services only after your competitor does something is such an indictment of all the anti-growth behaviors that the railroads are guilty of today.
To get the best investment return on technology, railroads need to work towards a single data platform and more genuinely collaborative partnerships.
The “This time is different” theme about rail mergers and volume growth is starting to sound more like the Marxists who believe socialism hasn’t really been tried yet.
The endgame has been triggered. A final industry consolidation could bring about much needed change, or only provide a short-term bump before the decline continues.
In an effort to create a friendly regulatory environment to operate within, railroads are slowly poisoning themselves to death while their worst impulses are incapable of being checked.
Kudos to GBX on a strong quarter, but I think it’s more of the eye in the storm rather than a sign that the worst has passed.
Until the railroads upgrade their underlying data infrastructure to benefit their customers, they're going to continue selling VHS tapes while their competitors are selling streaming.
GATX’s competitors are going to be under greater pressure to deliver the same returns leading them to look at consolidation options of their own.
Matt is the CEO and Co-Founder of Parallel Systems (https://moveparallel.com/). Before founding Parallel, he worked at SpaceX as an avionics engineer and with other aerospace companies.
Chuck Baker is the President of the ASLRRA.
Merger talk is inevitable, CSX underperforms, Canadians overperform, and more from the first quarter's roundup of earnings calls.
Incidents like East Palestine occur because the rail industry hasn't fixed the underlying system that disincentivizes innovation, increases maintenance costs, and creates the next tragedy.
CSX is going to need something harder than rainbows and butterflies from customers to show its strategy is succeeding.
Published April 15, 2025
Published April 10, 2025
Published on April 3, 2025
Published on March 27, 2025
Published on March 26, 2025
Published on March 19, 2025
Published on March 13, 2025
Published on March 11, 2025
Published on March 6, 2025
Published on March 6, 2025
Published on March 5, 2025
Published on February 27, 2025
Published on February 25, 2025
Published on February 25, 2025
Published February 19, 2025
Published on February 13, 2025
Published on January 11, 2025
Published on February 6, 2025
Published on February 4, 2025
Published on January 30, 2025
Published January 28, 2025
The first 30 minutes of this podcast are free. Subscribe today to unlock the full 2 hour conversation.
The first 30 minutes of this podcast are free. Subscribe today to unlock the full 2 hour conversation.
January 14, 2025
Week of January 13, 2025
The most authentic, insightful, and valuable information on rail transportation.