Brief - The Hustle

Uber CEO says cars will take a backseat to bicycles for short-distance trips

Written by Wes Schlagenhauf | Jun 30, 2020 8:56:05 AM

According to Uber chief, Dara Khosrowshahi, the rideshare company is planning a “shift in emphasis” from cars to e-bikes and scooters for short-distance riders.

The move comes ahead of Uber’s highly anticipated IPO — and as Khosrowshahi admitted, it’ll likely result in short-term financial losses (add it to Uber’s $4.5B loss last year).

Uhh, what’s the point?

According to Khosrowshahi, individual modes of transport are better suited for inner-city travel — and Uber has been making strides in the space.

Uber first added e-bikes in February of 2018, and acquired the bike-sharing company, Jump, for around $200m in April.

Since Khosrowshahi joined Uber, the company has inked deals with Lime, an electric scooter company, and Masabi, a London-based app that will help build what he calls an “urban mobility platform.”

It’s all about the long term

Or so they say. Khosrowshahi admitted that Uber will make less money from bikes than they will from cars, and that Uber drivers will also feel an initial dry spell from users opting for bikes.

But over the long term, Uber’s CEO believes bikes and scooters will help clear congested streets — and allow drivers to focus on longer rides.

And you know what that means: More tickle cash…