A sharp selloff in transportation and logistics stocks this month has reignited debate over the disruptive potential of artificial intelligence in the freight industry. But the chief executive of C.H. Robinson says the market reaction is overblown — and argues that AI will ultimately strengthen large incumbents rather than sideline them.

Shares of C.H. Robinson recorded their steepest single-day decline in nearly two years on February 12, tumbling 14.5% amid investor concerns that emerging AI-powered freight platforms could undermine traditional brokerage models. Although the stock has since regained some ground, it was down 6.1% at $178.44 in afternoon trading on Monday.

The selloff followed comments from Algorhythm Holdings, which said its SemiCab platform is enabling customers to scale freight volumes by 300% to 400% without increasing operational headcount. The remarks fueled fears that AI-native competitors could dramatically reduce costs and erode the market share of established logistics brokers.

In an interview with Reuters, C.H. Robinson CEO Dave Bozeman described the stock slump as a “short-term reaction.” He emphasized that the company’s scale and extensive proprietary data give it a durable competitive edge that is costly and time-consuming for rivals to replicate.

“We’re going to go into agentic artificial intelligence that’s going to make us faster and even better,” Bozeman said, signaling plans to deepen the company’s AI integration rather than retreat from it.

Bozeman also predicted that the race to adopt AI would accelerate consolidation across the logistics sector. Smaller firms, he argued, may struggle to compete in a data-intensive environment that demands sophisticated technology infrastructure and deep industry expertise — capabilities that cannot easily be built overnight, even with fresh investment.

The company’s confidence is bolstered by recent results. Last month, C.H. Robinson reported fourth-quarter profit above Wall Street expectations, aided in part by AI-driven efficiencies that streamlined operations and reduced manual processes across routine workflows.

As AI reshapes freight matching, routing and pricing, industry players face mounting pressure to innovate. For C.H. Robinson’s leadership, however, the message to investors is clear: technological disruption may reshape the competitive landscape, but it is more likely to reward scale and experience than to erase them.