When Brad Henley first made the leap to Uber Freight in 2017, he admits he was skeptical. A veteran truck driver and CEO of FHLines in Waukesha, Wisconsin, he preferred working with more traditional brokerages, using a landline and fax machine.

Two years later, Henley’s outlook has dramatically changed — and so has the landscape of digital freight brokerage companies. Uber’s (UBER) freight arm accounts for nearly 10% of Henley’s overall load. And he says, those traditional competitors are quickly adjusting to the competition.

“Some of the major carriers and brokers like Schneider and J.B. Hunt, and the big ones C.H. Robinson and Coyote have all developed their own digital apps,” Henley said. “They can come to others, attempting to compete with Uber on Uber’s own footing.”

Those shifts, along with increasing competition from rival digital players, could signal a bumpier road for Uber’s fastest growing arm as it heads into year three. While its gross bookings grew by 81% year over year and revenue jumped 78% in its most recent quarter, the freight brokerage sector remains fragmented with more and more players, taking a smaller portion of the overall market.

“It’s great to see more investments,” said Lior Ron, the Head of Uber Freight. “One of the things that energized us, when we first entered the business, we saw a lack of investment in technology, a lack of investment in innovation in a huge market that is basically powering the economy.”

Uber Freight’s platform operates much like its ride-sharing counterpart. It connects shippers directly with carriers, eliminating traditional third party brokerages, and allowing for more transparent pricing. Shippers detail everything from the type of load to the weight and pick-up spot, while truck drivers choose their routes and schedules, and rate the facilities.

More importantly, the platform allows all transactions to be settled digitally on the spot, improving efficiency.

Its growth comes at a critical time for the freight and logistics industry. A tight labor market and aging drivers have led to a drastic driver shortage, with the American Trucking Association estimating the industry will need to hire roughly 1.1 million new drivers over the next decade to close the gap. At the same time, demand for drivers has surged, driven by the explosion in online shopping and the need for quick delivery.

“It can be just about anything. All the way from the cardboard that’s used for Amazon boxes to the actual goods being moved from the ports,” Henley said, adding that online retail accounts for roughly 40% of his load during busier shopping seasons.